Hi, I have a question about leverage ad returns. Here is one solution where expected return on assets is calculate but I wonder, how do you get the values for rA and rD? the 7.5% and the 15%?

Thank you in advance,

Market Value Balance Sheet Example Asset Value 100 Debt (D) 30 Equity (E) 70 Asset Value 100 F inn Value (V) 100 rd=7.5% r=rgf5+rg I;= = 15% 15%m ?5%3012?5% T" 100+' mo"