Which of the following is not a component of the required rate of return?
A) expected rate of inflation
B) time value of money
C) risk
D) holding period return
E) all of the above are components of the required rate of return

Question

Quizplus · Accepted Answer

Holding period return is not a component of the required rate of return. The required rate of return is composed of the expected rate of inflation, time value of money, and risk. Holding period return is a calculation of the return earned during a specific period of time on a particular investment.

Which of the Following Is Not a Component of the Required