a. Calculate the required rate of return for an asset that has
a beta of 1.80, given a risk-free rate of 5.0% and a market
return of 10.0%.
b. If investors have become more risk-averse due to recent
geopolitical events, and the market return rises to 13.0%, what
is the required rate of return for the same asset?
a. The required rate of return for the asset is: %.
(Round to two decimal places.)
b. If investors have become more risk-averse due to recent
geopolitical events, and the market return rises to 13.0%, the
required rate of return for the same asset is: %. (Round to
two decimal places.)
a. Calculate the required rate of return for an asset that has a beta of 1.80, given a risk-free rate of 5.0% and a
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