Breakage is a special risk, _____________ which an extra premium will be charged.
举一反三
- Breakage is a special risk, for which an extra premium will have to be ____ . A: charged B: covered C: insured D: Arranged
- An analyst does research about cost of common equity. With respect to calculating the cost of equity using the bond yield plus risk premium approach, which of the following statements about the risk premium is least accurate() A: The risk premium compensates for the additional risk of equity compared with debt. B: We often estimate the risk premium using historical spreads between bond yields and stock yields. C: In developed country markets, a typical risk premium added is in the range of 2 to 4 percent.
- Which of the following is NOT a risk factor for a country's risk premium() A: Business risk. B: Financial risk. C: Technology risk.
- (I) The risk premium widens as the default risk on corporate bonds increases. (II) The risk premium widens as corporate bonds become less liquid.
- Since the premium varies with the extent of _______ , extra premium is for buyer’s account, should additional risks be _____ .