Question: 1.A stock with a beta of zero would be expected to have a rate of return equal to: A.the risk-free rate. B.the market rate. C.the

1.A stock with a beta of zero would be expected to have a rate of return equal to:

A.the risk-free rate.

B.the market rate.

C.the prime rate.

D.the market rate less the risk-free rate.

E.zero.

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!