A company has a beta of 1.92. If the market return is expected to be 19.7...
A company has a beta of 1.92. If the market return is expected to be 19.7 percent and the risk-free rate is 6.85 percent, what is the company's risk premium?
Homework Answers
risk premium=Beta*(market rate- risk-free rate)
=1.92*(19.7-6.85)
which is equal to
=24.672%
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A company has a beta of 1.92. If the market return is expected
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