8. What's the sum of 3/8 and 1/16
А. 1/6
В. 4/24
С.7/16
D. 1/4

make sure you have version 2.50

try looking in the very back of the book : )

step-by-step explanation:

you can download it here

so what is the problem what are they asking you to solve

step-by-step explanation:

so what is the problem what are they asking you to solve

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%