Question: Use the basic equation for the capital asset pricing model to work each of the following problems. This is basic equation, r B(rm-r). a. Find

 Use the basic equation for the capital asset pricing model to

Use the basic equation for the capital asset pricing model to work each of the following problems. This is basic equation, r B(rm-r). a. Find the REQUIRED RETURN for an asset with a beta of 0.90 when the risk-free 9. rate and market return are 8% and 12%, respectively. b. Find the RISK-FREE RATE for a firm 1.25 when the market return is 14%. with a required return of 15% and a beta of Find the MARKET RETURN for an asset with a required return of 16% and a beta of 1.10 when the risk-free rate is 9% c. Find the BETA for an asset with a required return of 15% when the risk-free rate and market return are 10% and 12.5 %, respectively. d

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