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The following information is available: Share Numer of share Share price Beta value A 20.000 200 1,8 B 40.000 150 0,9 C 30.000 100 1,2
The following information is available:
Share | Numer of share | Share price | Beta value |
A | 20.000 | 200 | 1,8 |
B | 40.000 | 150 | 0,9 |
C | 30.000 | 100 | 1,2 |
D | 90.000 | 40 | 2,4 |
The risk-free interest rate is 4% and the market risk premium is 7%. What is the required rate of return on the portfolio?
A) Between 13% and 14%
B) Between 14% and 15%
C) Between 15% and 16%
D) None of the above is true
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