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krok68 [10]
3 years ago
5

Fama and French (1992) found that the stocks of firms within the highest decile of book-to-market ratios had an average annual r

eturn of _______, while the stocks of firms within the lowest decile of book-to-market ratios had an average annual return of ________. Group of answer choices 13.2%; 16.4% 11.1%; 17.2% 15.6%; 13.1% 17.2%; 11.1%
Business
1 answer:
Galina-37 [17]3 years ago
7 0

Answer:

1. 17.2%

2. 11.1%

Explanation:

From Fama and French (1992) research study, titled "The Cross‐Section of Expected Stock Returns," it was concluded that the stocks of firms within the highest decile of book-to-market ratios had an average annual return of 17.2%, while the stocks of firms within the lowest decile of book-to-market ratios had an average annual return of 11.1%

Hence, the correct answer is 17.2% and 11.1% respectively.

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