A foreign tourist went shopping in a shop in Hungary with only euros. Luckily for him, the shop accepted euros. At the end of the bill was the following: Amount to pay: 2440 Ft (this is the amount of money you have to pay)
Paid: 10 euros (the amount he gave the cashier)
How many forints did you get back if the shop exchanged the euro at the exchange rate of 1 euro = 305 forints?

you got back with 3,050

Step-by-step explanation:

multiplied 305 by 10

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%