Question: Question content area top Part 1 What is the name of additional compensation required for assuming greater risk? Question content area bottom Part 1 The

Question content area top
Part 1
What is the name of additional compensation required for assuming greater risk?
Question content area bottom
Part 1
The additional compensation for assuming greater risk is called:(Select the best choice below.)
A.
standard deviation of return.
B.
real average return.
C.
risk premium.
D.
nominal average return.

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!

Q:

Go Times Inc. has current sales of $7,500 (in millions), an operating ratio of 6%, a capital requirement ratio of 40%, a tax rate of 40% and a corporate cost of capital of 8%. Under new management...

Q:

Question content area top Part 1 The Roti Bread Company bakes baguettes for distribution to upscale grocery stores. The company has two direct - cost categories: direct materials and direct...

Q:

Question content area top Part 1 Scenario analysisAutomated Food Distribution Corp. (AFDC) produces vending machines and places them in public buildings. The company has obtained permission to place...

Q:

Question content area top Part 1 Toyota's Pass-Through. Assume that the export price of a Toyota Corolla from Osaka, Japan, is 2,150,000. The exchange rate is 87.56/$. The forecast rate of inflation...

Q:

Question content area top Part 1 (Related to Checkpoint 8.3)(CAPM and expected returns) a.Given the following holding-period returns, LOADING..., compute the average returns and the standard...

Q:

Question content area top Part 1 You plan to invest $1,000 in a corporate bond fund or in a common stock fund. The table presents the annual return (per $1,000) of each of these investments under...

Q:

Question content area top Part 1 (Bond valuation relationships) A bond of Telink Corporation pays $100 in annual interest, with a $1,000 par value. The bonds mature in 25 years. The market's required...

Q:

Question content area top Part 1 Breakeven cash inflows and risk Blair Gases and Chemicals is a supplier of highly purified gases to semiconductor manufacturers. A large chip producer has asked Blair...

Q:

Question content area top Part 1 A study was conducted to determine the proportion of people who dream in black and white instead of color. Among 305 people over the age of 55, 68 dream in black and...

Q:

Question content area top Part 1 Listed in the accompanying table are weights(lb) of samples of the contents of cans of regular Coke and Diet Coke. Assume that the two samples are independent simple...

Q:

Question content area top Part 1 Listed in the accompanying table are weights(lb) of samples of the contents of cans of regular Coke and Diet Coke. Assume that the two samples are independent simple...

Q:

How can Addie Swartz continually develop and promote the brand that has meaningful, values-driven tween girl properties that are also relevant, cool, and realistic?

Q:

a. A business owner makes 1000 items a day. Each day she spends 8 hours producing those items. If hired, elsewhere she could have earned $250 an hour. The item sells for $15 each. Production occurs...

Q:

18. Refer to the definition of assets in this chapter. Discuss how a leased building might qualify as an asset of the lessee (tenant) under this definition.

Q:

a)Calculate the net working capital for each company during 2018 and 2019. b)Calculate the cash conversion cycle of the two companies in 2019. Comment and compare any changes in the operating cycle....