Q ID: ICMA 10.QA.P2.013 ( Risk and Return and Types of Risk) — RRR Help !
- This topic has 1 reply, 2 voices, and was last updated 6 months ago by Lynn Roden.
In that question Required rate of return has been asked and want to click applicable statment about that term …
Actually i have also agree with answer key which is shown that it should be “RRR , satisfies all of the other listed requirements.” ; i have a doubt that why the option b (can be used to determine the value of a financial security) is not true ?
As far as i understand i can use the term RRR in calculation of intrinsic value of stock ( its formula given Expected dividend / Investing RRR) and it means this is the value which it shoudl be in market …. If it is right , Isnt that RRR could be used in determining financial security ?
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