This is the formula for computing the required rate of return in a market: E(R)<span> = Rf + ß( R<span>market </span>- R<span>f </span>). This is called as the Capital Asset Pricing Model (CAPM). The E(R) represents the required rate of return; the Rf is the risk-free rate; the </span>ß is the beta coefficient (which we are looking for); and the Rmarket is the rate of return on the market. Substituting the values to this formula, you can come up with the beta coefficient of 1.4.
<span>(12.67 + 19.2)(3.99) / (1.36 + 11.366) = 31.87(3.99) / 12.726 = 127.1613 / 12.726 = 9.992</span>
D. 45 is the correct answer
Answer:
I think they are SAS but I'm not sure
Answer:
500 ÷ 3650 = 0.13698630136986 = 13.698630136986%