Suppose the real risk-free rate is 3.50% and the future rate of inflation is expected to be constant at 4.80%. what rate of return would you expect on a 1-year treasury security, assuming the pure expectations theory is valid?

8.30%

Explanation:

The formula to compute the expected rate of return is shown below:

= Real risk-free rate + future rate of inflation + default risk premium + liquidity risk premium + maturity risk premium

= 3.50% + 4.80% + 0 + 0 + 0

= 8.30%

We simply added the real risk-free rate and the future rate of inflation so that the correct rate of return can come

We consider all the information which is given in the question as it is relevant for the computation part

there's 11 people for the 1st position. then, no matter who gets it, there's only 10 left for the second, and then 9 left for the third. 11 x 10 x 9 = 990.   the answer is there are 990 different ways the positions can be filled by these applicants

answer; marketing resource management;