Question
What is the risk premium for a stock where the risk free rate is 5.1%; the equity market risk premium is 5.0%; and the beta
What is the risk premium for a stock where
the risk free rate is 5.1%;
the equity market risk premium is 5.0%; and
the beta of the stock is 1.2.
Ans:
11.1%
6.1%
6.0%
12.1%
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Get StartedRecommended Textbook for
Fundamentals of Investment Management
Authors: Geoffrey Hirt, Stanley Block
10th edition
0078034620, 978-0078034626
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