Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Over a certain period, large-company stocks had an average return of 12.39 percent, the average risk-free rate was 2.54 percent, and small-company stocks averaged 17.29

image text in transcribed
Over a certain period, large-company stocks had an average return of 12.39 percent, the average risk-free rate was 2.54 percent, and small-company stocks averaged 17.29 percent. What was the risk premium on small-company stocks for this period? Multiple Choice 19.83% 490% 11.80% 14.75% 9.85%

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Principles Of Finance

Authors: Scott Besley, Eugene F. Brigham

2nd Edition

003034509X, 9780030345098

More Books

Students also viewed these Finance questions

Question

How does mindfulness practice assist in rational decision-making?

Answered: 1 week ago