Question
You bought a stock nine months ago at $23 a share. Today, you sold that stock for $28.50 a share. The stock paid no dividends.
The stock paid no dividends. What was your annualized rate of return?
Over the past six years, a stock produced returns of 5.2, 18.1, 6.4, 111.2, L2, and 1.9 percent,
respectively. For these same six years, the risk-free rate has been 2.4, 3.2, 1.8, 2.2, 4.8, and 1.8 percent,
respectively. What's the arithmetic average risk premium on the stock for this time period?
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Corporate Finance
Authors: Stephen Ross, Randolph Westerfield, Jeffrey Jaffe
10th edition
978-0077511388, 78034779, 9780077511340, 77511387, 9780078034770, 77511344, 978-0077861759
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