问题
单项选择题
If the risk-free rate of interest is 5 percent and an investor enters into a transaction that has no risk, the rate of return the investor should earn in the absence of arbitrage opportunities is
A.
A. 0%. |
B.
B. between 0% and 5%. |
C.
C. 5%. |
答案
参考答案:C
解析:In the absence of arbitrage opportunities, an investor beating no risk should expect to earn the risk-free rate.