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Suppose you observe the following situation: table [ [ Security , Beta,Expected Return ] , [ Pete Corp., 1 . 7 5 , 0
Suppose you observe the following situation:
tableSecurityBeta,Expected ReturnPete Corp.,Repete Co
What is the riskfree rate? Do not round Intermedlate calculatlons. Round the final answer to decimal places.
RIskfree rate
Assume these securities are correctly priced. Based on the CAPM, what is the expected return on the market? Do not round Intermedlete calculatlons. Round the flnal answers to decimal places.
Pete Corp.
Expected Return on Market
Repete Co
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