D E F H K Problem 8-24 e Capital asset pricing model (CAPM). For each case in the following table, use the capital asset pricing model to find the required retuin. Risk-free rate, RF 5 Case 772 5 A B - Market return, 1 m 8% 13 12 12 10 1% 2 5 6 4 Beta, 1.30 0.90 -0.20 1.00 0.60 B 2 D E 0 1 Solution 2 3 4 5 6 7 8 9 0 1 2 3 Case A Risk-free rate Market return Beta Required return 1% 8% 1.30 Case B Risk-free rate Market return Beta Required return 2% 13% 0.90 5 6 7 8 9 Case C Risk-free rate Market return Beta Required return Problem 8-24 5% 12% 0.20 0 pady A B D E F I j K Case C Risk-free rate Market return Beta Required return 5% 12% 0.20 Case D Risk-free rate Market return Beta Required return 6% 12% 1.00 Case E Risk-free rate Market return Beta Required return 4% 10% 0.60 Points 1 1 1 Requirements 1 In cell E18, by using cell references to the given data, calculate the required rate of return for case A. 2 In cell E24, by using cell references to the given data, calculate the required rate of return for case B. 3 In cell E30, by using cell references to the given data, calculate the required rate of return for case C. 4 In cell E36, by using cell references to the given data, calculate the required rate of return for case D. 5 In cell E42, by using cell references to the given data, calculate the required rate of return for case E. 6. Save the workbook Close the workbook and then exit Excel Submit the workbook as Problem 8-24 1 1 0 ad