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Management · Q756

Financial Management

Graduate and Post Graduate · Management · question 756

Q756

An inflation free rate of return and inflation premium are two components of

A.
quoted rate
Answer
B.
unquoted rate
C.
steeper rate
D.
portfolio rate

Answer: Option A

Solution

Answer: Option A
Solution:
An inflation free rate of return and inflation premium are two components of quoted rate. An inflation free rate of return and inflation premium are two components of quoted rate. A rate expressed on the basis which is conventional in the market in which the parties are dealing or proposing to deal.