The expected return on KarolCo. stock is 16.5 percent. If the risk-free rate is 5 percent and the beta of KarolCo is 2.3, then what is the risk premium on the market?

A) 2.5%
B) 5.0%
C) 7.5%
D) 10.0%

Answer: B) 5.0%

Business

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The assumption that assumes a company will continue in operation long enough to carry out its existing objectives is the:

a. economic entity assumption. b. going concern assumption. c. monetary unit assumption. d. periodicity assumption

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The recall of high-chairs because of a possible defect in manufacturing is an example of _______________ analysis

Fill in the blank(s) with correct word

Business