Which of the following is NOT a key variable in the equation for the capital asset pricing model?
A) the risk-free rate of interest
B) the expected rate of return on the market portfolio
C) the marginal tax rate
D) All are important components of the CAPM.
Answer: C
You might also like to view...
Choose the correct word or words in parentheses. (It's, Its) a beautiful, sunny, pleasant afternoon to take a bide ride
Match each of the following items with the financial statement in which each item would most likely appear. An item may appear on more than one statement.
A. Assets. B. Liabilities. C. Revenues. D. Expenses. E. Cash from investing activities. F. Cash from operating activities. G. Cash from financing activities. H. Dividends.
Sulema, Inc. repairs and refinishes antique furniture. Manufacturing overhead at Sulema is applied to production on the basis of standard direct labor-hours. Which overhead variance(s) at Sulema would be unfavorably affected if a significant amount of glue is being wasted by inexperienced direct labor workers?
A. fixed manufacturing overhead budget variance B. fixed manufacturing overhead volume variance C. variable overhead rate variance D. variable overhead efficiency variance
If the one-year discount factor is equal to 0.94340, the interest must be equal to ________,
A) 3.0% B) 4.8% C) 5.5% D) 6.0%