Question: Manipulating CAPM Use the basic equation for the capital asset pricing model (CAPM) to work each of the following problerns. a. Find the required return
Manipulating CAPM Use the basic equation for the capital asset pricing model (CAPM) to work each of the following problerns. a. Find the required return for an asset with a beta of 1.93 when the risk-free rate and market return are 4% and 10%, respectively b. Find the risk-free rate for a firm with a required return of 7.732% and a bota of 0.63 when the market return is 10% c. Find the market return for an asset with a required retum of 12.152% and a beta of 1.26 when the risk-free rate is 4% d. Find the beta for an asset with a required return of 15.370% when the risk-free rate and market return are 9% and 12.5%, respectively. a. The required return for an asset with a beta of 1.93 when the risk-free rate and market return are 4% and 10%, respectively, is 0% (Round to two decimal places) b. The risk free rate for a firm with a required return of 7.732% and a beta of 0.63 when the market return is 10% is 1% (Round to two decimal places) c. The market return fot an asset with a required return of 12.152% and a beta of 126 when the risk-free rate is 4% is % (Round to two decimal places) d. The beta for an asset with a required rotum of 15.370% when the riak tree rate and market retum are 1% and 12.5%, respective, (Round to wo decimal places
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