Wednesday

August 27, 2014

August 27, 2014

Posted by **Mark** on Sunday, July 21, 2013 at 12:35pm.

- Math -
**Ms. Sue**, Sunday, July 21, 2013 at 12:39pmMark, Alisha, Jasmine -- please use the same name for your posts.

Also -- your questions and answer choices would be a lot easier to read if you put each choice on a separate line and identified them as a, b, c, d.

- Math -
**Mark**, Sunday, July 21, 2013 at 12:43pmIn the Capital Asset Pricing Model, the market risk premium is estimated over a long period of time because:

A. more data is always better than less.

B. a longer holding period gives a more reliable estimate because it is, in effect, a larger sample size.

C. almost all investors hold stocks for many years, so it matches their investment horizon.

D. historical returns are the best indicators of future returns.

- Math -
**Ms. Sue**, Sunday, July 21, 2013 at 1:13pm

**Related Questions**

Managerial Finance - Assume that investors have recently become more risk averse...

Math - Stock Market History a. What was the average rate of return on large U.S...

Finance:capital budget - I am suppose to write a 1400 word paper based on the ...

money and banking - use capital asset pricing model to predict the return next ...

Investment - Capital asset pricing theory asserts that portfolio returns are ...

Finance - Suppose the market risk premium is 6.5% and the risk-free interest ...

finance - Use the capital-asset pricing model to predict the returns next year ...

Finance - A stock has an expected return of 10 percent, the risk-free rate is 6 ...

Finance - A stock has an expected return of 10 percent, the risk-free rate is 6 ...

Finance - Interest rate premiums A 5-year Treasury bond has a 5.2 percent yield...