The average annual risk premium on small-company stocks for the period 1926-2014 was 12.9%
<h3>
What is Risk premium?</h3>
A premium is a proportion of overabundance return that is expected by a person to remunerate being exposed to an expanded degree of risk.
The contributions for every one of these factors and a definitive understanding of the risk premium worth contrasts relying upon the application as made sense of in the accompanying segments.
No matter what the application, the market premium can be unpredictable as both involving factors can be affected free of one another by both repetitive and unexpected changes. This implies that the market premium is dynamic in nature and consistently evolving.
Therefore annual risk premium was as 12.9%.
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It is a study of the actions of the consumers that drive them to buy and use certain products. The study of consumer buying behavior is most important for marketers as they can understand the expectation of the consumers. It helps to understand what makes a consumer buy a product.
<h3>
What is consumer behavior in marketing?</h3>
Consumer behavior is the study of how people are making purchase decisions to satisfy their needs, wants, or desires, and how their emotional, mental, and behavioral responses influence the buying decision.
Consumer behavior assists firms in determining whether what they are selling will be lucrative, as well as in tailoring their marketing plan to the appropriate target population for their product/service.
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Answer: 11.32%
Explanation:
Given the above variables, the total compound return can be calculated by;
= (1 + r)(1 + r₂)(1 + r₃)...(1 + rn) - 1
= (1 + 10%)( 1 + 15%) (1 - 12%) - 1
= 11.32%
bottom line. This is a direct quote from the textbook by Cengage called Employment and Labor Law.
