Question: Opl Intro Use the expected return-beta equation from the CAPM. Part 1 IB Attempt 1/10 for 10 pts. What is the expected return for a

Opl Intro Use the expected return-beta equation from the CAPM. Part 1 IB Attempt 1/10 for 10 pts. What is the expected return for a stock if the risk-free rate is 2%, beta 1.4 and the expected return for the market portfolio is 9%? 11.8% Correct E(r) = r; + B(E(TM) - r) = 0.02 + 1.4(0.09 -0.02) = 0.118 Part 2 IB Attempt 1/10 for 10 pts. What is the risk-free rate if beta is 1.1, the expected return 9.45% and the expected return for the market portfolio is 9%? A+ decimals Submit Part 3 IB Attempt 1/10 for 10 pts. What is beta if the risk-free rate is 2%, the expected return 13% and the expected return for the market is 9%? 2+ decimals Submit Part 4 IB Attempt 1/10 for 10 pts. What is the expected return for the market if the risk-free rate is 2%, beta 1.4 and the expected return 13%? 4+ decimals Submit
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