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a. Calculate the required rate of return for an asset that has a beta of 1.09, given a risk-free rate of 4.7% and a market
a. Calculate the required rate of return for an asset that has a beta of 1.09, given a risk-free rate of 4.7% and a market return of 9.7%. b. If investors have become more risk-averse due to recent geopolitical events, and the market return rises to 13.4%, what is the required rate of return for the same asset? a. The required rate of return for the asset is %. (Round to two decimal places.) b. If investors have become more risk-averse due to recent geopolitical events, and the market return rises to 12.5%, the required rate of return for the same asset is %. (Round to two decimal places.)
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