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The Returns on the Market , the Returns on United

Question 24

Multiple Choice

The returns on the market , the returns on united fund (UF) , the risk- free rate , and the reqired return on the united fund are shown below .
assuming the market is in equilibrium and that beta can be estimated with historical data . what is the reqired return on the market rn?
The returns on the market , the returns on united fund (UF)  , the risk- free rate , and the reqired return on the united fund are shown below . assuming the market is in equilibrium and that beta can be estimated with historical data . what is the reqired return on the market rn?   r<sub>RF</sub>: 7.00%; R<sub>UNITED</sub>:  15.00% A)  10.57% B)  11.13% C)  11.72% D)  12.33% E)  12.95%
rRF: 7.00%; RUNITED: 15.00%


A) 10.57%
B) 11.13%
C) 11.72%
D) 12.33%
E) 12.95%

Correct Answer:

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