Manipulating CAPMUse the basic equation for the capital asset pricing model

(CAPM)

to work each of the following problems.a.Find the required return for an asset with a beta of

1.21

when the risk-free rate and market return are

5%

and

10%,

respectively. b.Find the risk-free rate for a firm with a required return of

19.475%

and a beta of

1.57

when the market return is

15%.

c.Find the market return for an asset with a required return of

17.094%

and a beta of

1.34

when the risk-free rate is

9%.

d.Find the beta for an asset with a required return of

6.175%

when the risk-free rate and market return are

4%

and

6.5%,

respectively.