Question: 1. Write a brief paragraph describing the CAPM model. 2. Write a brief paragraph describing Beta and its role in CAPM. 3. Using the CAPM

1. Write a brief paragraph describing the CAPM model.

2. Write a brief paragraph describing Beta and its role in CAPM.

3. Using the CAPM formula, calculate Race Co.s required return given that the common stock has a beta of 1.8, the risk-free rate is 2.0 percent, and the market return is 10.0 percent

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