Question
Blue Dog Inc has common shares with a beta of 1.2. Treasury bills are currently yielding 6% and the expected return on the S&P/TSX Composite
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Blue Dog Inc has common shares with a beta of 1.2. Treasury bills are currently yielding 6% and the expected return on the S&P/TSX Composite Index is 11%. The risk premium on Blue Dog Inc. common shares is:
B. 6%
answer is 6% Why?
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Behavioral Finance
Authors: Edwin Burton, Sunit N. Shah
1st Edition
111830019X, 978-1118300190
