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E8-6 a) Calculate the required rate of return for an asset that has a beta of 1.8, given a risk-free rate of 5% and a

E8-6 a) Calculate the required rate of return for an asset that has a beta of 1.8, given a risk-free rate of 5% and a market return of 10%. b) If investors have become more risk-averse due to recent geopolitical events, and the market return rises to 13%, what is the required rate of return for the same asset? c) Use your findings in part a) to graph the initial security market line (SML), and then use your findings in part b to graph (on the same set of axes) the shift in the SML

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