Problem 2 (10 points). draw these graphs. (a) k6 c) k3,2 (e) w

57 732

step-by-step explanation:

i dont really.know

it depends on the weather. because i have flown to seattle when it was pouring down rain and there was one time i flew to ohio when it was snowing hard. whats your situation.

step-by-step explanation:

required rate of return = 0.166 = 16.6%

step-by-step explanation:

under the capital asset pricing model (capm), the required or expected rate of return for a particular security or asset is given using the formula:

required rate of return = risk-free rate + beta*(market risk premium)

we are given that;

risk-free rate = 4% = 0.04

beta = 1.4

market risk premium = 9% = 0.09

we simply plug these values into the above formula;

required rate of return = 0.04 + 1.4*(0.09)

required rate of return = 0.04 + 0.126

required rate of return = 0.166 = 16.6%