NO.PZ2022081802000034
问题如下:
Question An analyst observes that the historic geometric nominal return for equities is 9%. Given a real return of 1% for riskless Treasury bills and annual inflation of 2%, the real rate of return and risk premium for equities are closest to:选项:
A.7.9% and 5.8%. B.6.9% and 7.9%. C.6.9% and 5.8%.解释:
SolutionC is correct.
[(1 + 0.09)/(1 + 0.02)] – 1 = 6.9%, and [(1 + 0.69)/(1 + 0.01)] – 1 = 5.8%
A is incorrect.
[(1 + 0.09)/(1 + 0.01)] – 1 = 7.9%, and [(1 + 0.079)/(1 + 0.02)] – 1 = 5.8%
B is incorrect.
[(1 + 0.09)/(1 + 0.02)] – 1 = 6.9%, and [(1 + 0.09)/(1 + 0.01)] – 1 = 7.9%