In general,the required rate of return is a function of (1)the time value of money,(2)the risk of an asset,and (3)the investor's attitude toward risk.

Question

Quizplus · Accepted Answer

The statement is true. The required rate of return takes into account the opportunity cost of investing money now instead of later, the risk associated with the investment, and the investor's willingness to accept risk.

In General,the Required Rate of Return Is a Function of (1)the