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An investor believes there are three imp...

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题目

An investor believes there are three important factors that determine the expected return for a common stock. The investor uses the following factor betas and factor risk premiums.
「huixue_java/202211/MBSMe4_1654327864524794.png」If the risk-free rate is 3%, what is the expected return for this stock using the arbitrage pricing theory (APT) model?

选项

A.5.35%

B.8.35%

C.9.50%.

D.10.37%.

答案

B

解析

E(R) = 0.03 + 0.7(0.015) + 1.2(0.04) - 0.1(0.05)E(R) = 0.03 + 0.0105 + 0.048 - 0.005E(R) = 0.0835E(R) = 0.03 0.7(0.015) 1.2(0.04) - 0.1(0.05) E(R) = 0.03 0.0105 0.048 - 0.005 E(R) = 0.0835