Posted by: Pdfprep
Post Date: March 12, 2021
The market risk premium is defined as ___________
A . the difference between the return on an index fund and the return on Treasury bills
B . the difference between the return on a small firm mutual fund and the return on the Standard and Poor’s 500 index
C . the difference between the return on the risky asset with the lowest returns and the return on Treasury bills
D . the difference between the return on the highest yielding asset and the lowest yielding asset.
Answer: A
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