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HW help ? Manipulating CAPM Use the basic equation for the capital asset pricing model (CAPM) to work each of the following problems. a. Find
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Manipulating CAPM Use the basic equation for the capital asset pricing model (CAPM) to work each of the following problems. a. Find the required return for an asset with a beta of 1 45 when the risk-free rate and market return are 8% and 15%, respectively. b. Find the risk-free rate for a firm with a required return of 13.204% and a beta of 1.67 when the market return is 11% c. Find the market return for an asset with a required return of 6.756% and a beta of 0.65 when the risk free rate is 4% d. Find the beta for an asset with a required return of 16.138% when the risk-free rate and market return are 9% and 13.3%, respectively, a. The required return for an asset with a beta of 1.45 when the risk-free rate and market return aro 8% and 15%, respectively, is %. (Round to two decimal places) b. The risk free rate for a firm with a required return of 13.204% and a beta of 1.67 when the market return is 11% is %. (Round to two decimal places.) c. The market return for an asset with a required return of 6.756% and a beta of 0.65 when the risk-free rate is 4% is % (Round to two decimal places) d. The beta for an asset with a required return of 16.438% when the risk troo rate and market return are 9% and 13.3%, respectively, is (Round to two decimal places.) Step by Step Solution
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