Use the expected return-beta equation from the CAPM.

ALL ANSWERS IN 3 OR MORE DECIMALS

1. What is the expected return for a stock if the risk-free rate is 4%, beta 0.8 and the expected return for the market portfolio is 7%?
2. What is the risk-free rate if beta is 1.1, the expected return 7.35% and the expected return for the market portfolio is 7%?
3. What is beta if the risk-free rate is 4%, the expected return 10% and the expected return for the market is 7%?
4. What is the expected return for the market if the risk-free rate is 4%, beta 0.8 and the expected return 10%?