Question: Which is a commonly used proxy for the risk-free rate? 1.-the average historical interest rate on long-term government bonds 2.-the current market rate interest rate

Which is a commonly used proxy for the "risk-free rate"?

  • 1.-the average historical interest rate on long-term government bonds
  • 2.-the current market rate interest rate on a government-insured savings account
  • 3.-the current yield to maturity on a long-term government bond
  • 4.-the rate of return on a low volatility stock

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