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(1) By Saturday: Create a new thread in this forum, and post your answer to the following questions. Let's determine the expected return of Tesla,

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(1) By Saturday: Create a new thread in this forum, and post your answer to the following questions. Let's determine the expected return of Tesla, Inc. using the capital asset pricing model (CAPM). You have gathered the following data: Tesla's beta is 1.6 many analysts will use the 10 year Treasury Rate as the "risk free" rate when valuing the markets or an individual security; the current rate is 0.74% the average annual return for the S&P 500 since inception through 2019 has been 10%, so we will use 10% as the expected return of the market for next year (however note that currently analysts disagree on the expected return of the market for next year, with some arguing it will surge and others that there will be a pullback (no one has a crystal ball!) Using CAPM, what must be the expected return for Tesla stock? Show how you arrived at your

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