Question: What is the expected return for Asset X if it has a beta of 2.0, the expected market return is 10 percent, and the riskfree

What is the expected return for Asset X if it has a beta of 2.0, the expected market return is 10 percent, and the riskfree rate is 2 percent?

A. 16.0%

B. 22.0%

C. 10.0%

D. 18.0%

Bryson Sciences is planning to purchase a high-powered microscopy machine for $382,000 and incur an additional $31,800 in installation expenses. It is replacing older microscopy equipment that can be sold for $116,800, resulting in taxes from a gain on the sale of $43,000. Because of this transaction, current assets will increase by $19,000 and current liabilities will increase by $5,000.Calculate the initial cash flow in the high-powered microscopy machine.

The initial cash flow is $____(Round to the nearest dollar.)

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