PepsiCo uses 30-year Treasury bonds to measure the risk-free rate because:
A.
these bonds are essentially free of business risk.
B.
they capture the long-term inflation expectations of investors associated with investments in long-term assets.
C.
these bonds are essentially free of interest rate risk.
D.
none of the above.
A.
these bonds are essentially free of business risk.
B.
they capture the long-term inflation expectations of investors associated with investments in long-term assets.
C.
these bonds are essentially free of interest rate risk.
D.
none of the above.
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