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i i know this question has been answered but if someone wouldn't mind really explaining how to do it i don't understand. 12. CAPM and

image text in transcribedi i know this question has been answered but if someone wouldn't mind really explaining how to do it i don't understand.

12. CAPM and Cost of Capital. Draw the security market line when the Treasury bill rate is 4% and the market risk premium is 7%. What are the project costs of capital for new ventures with betas of.75 and 1.75? Which of the following capital investments have positive NPVs? (104) Project Bets Internal Rate of Return, % P 1.0 14 Q .0 6 R 2.0 18 S 4 7 T 1.6 20

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