Chapter 4: Net Present Value

Long-term government bonds. U.S. Treasury bills. Suppose the current interest rate on U.S. Treasury bills is 2 percent. The average return on Treasury bills from 1926 through 2002 was 3.8 percent. The average return on common stocks during the same period was 12.2 percent. Given this information, what is the current expected return on common ... ................
................