Investments
Investments
11th Edition
ISBN: 9781259277177
Author: Zvi Bodie Professor, Alex Kane, Alan J. Marcus Professor
Publisher: McGraw-Hill Education
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Chapter 10, Problem 2PS
Summary Introduction

To determine: Any factors that can list out some factors that determine risk premium, and provide supporting reasons for these factors determining the risk premium.

Introduction: Risk premium is that amount which the investor receives through investing on a risky asset. It can be considered a compensation for the investing for tolerating the extra risk involved, when compared to a risk-free asset.

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