If a risk free rate of return is 5% and market risk premium is 4%, what is the return on a market portfolio?
Risk means that investors like to take risk
Risk means that investors like to take risk
Which equation is correct for required return (rs)?
Which equation is correct for required return (rs)?
Risk in a portfolio may be reduced through diversification.
Risk in a portfolio may be reduced through diversification.
Which of the following scenarios lower diversifiable risk?
Which of the following scenarios lower diversifiable risk?
How is stand alone risk measured?
How is stand alone risk measured?
Marginal investors would buy a stock if required return is l…
Marginal investors would buy a stock if required return is less than expected return.
Spontaneous liabilities from delaying payment of accounts pa…
Spontaneous liabilities from delaying payment of accounts payable are an example of investor supplied funds for calculating cost of capital?
The yield to maturity on a bond issued eight years ago is a…
The yield to maturity on a bond issued eight years ago is a good proxy for the cost of debt for a bond of similar risk issued today?
Diversifiable risk may be reduced by adding stocks to a port…
Diversifiable risk may be reduced by adding stocks to a portfolio?