FINA 5320 - EXAM 3 THEORETICAL ACTUAL 2025/2026 QUESTIONS AND 100% CORRECT ANSWERS

FINA 5320 - EXAM 3 THEORETICAL ACTUAL 2025/2026 QUESTIONS AND 100% CORRECT ANSWERS The excess return is computed by ____ the average return for the investment a. subtracting the inflation rate from b. adding the inflation rate to c. subtracting the average return on the US treasury bill from d. adding the average return on the us treasury bill to e. subtracting the average return on long-term government bonds from - Answer -c. subtracting the average return on the US treasury bill from The variance of returns is computed by dividing the sum of the a. squared deviations by the number of returns minus oneNeed assistance on Online classes, Exams & Assignments? Reach out for instant help!! Full Course Assistance, Plagiarism-free Essay Writing, Research Paper, Dissertation, Discussion Posts, etc…. Confidential & Secure services. Tutors are available for all subjects! Email now at: b. average returns by the number of returns minus one c. average returns by the number of returns plus one d. squared deviations by the average rate of return e. squared deviations by the number of returns plus one - Answer -a. squared deviations by the number of returns minus one In estimating the future equity risk premium, it is important to include assumptions about the a. historical distribution of returns on derivative securities only b. future risk environment onl