Question: Pick the correct statement from below. Multiple Choice The risk-free rate represents the change in purchasing power Any return greater than the inflation rate represents

Pick the correct statement from below. Multiple Choice The risk-free rate

Pick the correct statement from below. Multiple Choice The risk-free rate represents the change in purchasing power Any return greater than the inflation rate represents the risk premium. Historical real rates of return must be positive Nominal rates exceed real rates by the amount of the risk-free rate. 0 The real rate must be less than the nominal rate given a positive rate of inflation

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