Questions LLC
Login
or
Sign Up
Ask a New Question
Math
Arithmetic
When would I use the arithmetic average risk premium as opposed to the geometric risk premium )?
1 answer
The arithmetic average risk premium is used when the expected returns are expected to remain constant over time. The geometric risk premium is used when the expected returns are expected to change over time.
You can
ask a new question
or
answer this question
.
Related Questions
Shonetta Woods has a limited payment insurance policy with an annual premium of $1,125.00 until age 65. She pays the premium
A home was valued at &73,500. It was insured for 80% of its value at a premium of &0.40 per $100. Find the yearly premium.
Multiple Choice Question
Jerome uses the formula, P = 2DB, to find his approximate six-month premium when his driver risk factor,
A sudden drop in consumer demand is an example of what kind of risk?
(1 point) Responses human risk human risk market risk market
Angelo, age 40, is comparing the premium for a $125,000 whole life insurance policy he may take now and the premium for the same
Types of bonds are divided into three categories: good risk, medium risk, and poor risk. Assume that of a total of 13,838 bonds,
1. Interest rates A particular security's default risk premium is 3 percent. For all securities, the inflation risk premium is 2
The interest rate is composed of _____ and the ______?
a. risk-free rate,risk discount b.risk free rate, risk premium c.risk free
2 of 3
Jerome uses the formula, P = DB, to find his approximate sixmonth premium when his driver risk factor, D, is 1.02 and the
A corporation's 10-year bonds have an equilibrium rate of return of 7 percent. For all securities, the inflation risk premium is
