Answer:
Expected rate of return is 10.3%
Step-by-step explanation:
CAPM calculate the expected return by using the risk free rate market premium and beta of investment. It helps to decided the additional investment in a well diversified portfolio.
Formula of CAPM to calculate the rate of return
Rate of Return = Risk free rate + beta ( Risk premium )
Rate of Return = 4% + 0.7 ( 9% )
Rate of Return = 4% + 0.7 ( 9% )
Rate of Return = 10.3%
108/9 * (-12) /6 -(100/5) simplifies to
12*-2-20 which is -44.
Answer:
5 whole number, 5/7
Step-by-step explanation:
10 ÷ 1 3/4
10 ÷ 7/4
10 x 4/7
40/7 or 5 5/7