What procedure can be used to solve the equation 540 = StartFraction a Over 11 EndFraction, and what is the solution? Multiply both sides by 11; the solution is 5,940.
Multiply StartFraction a Over 11 EndFraction by 11; the solution is 540.
Divide both sides by 11; the solution is 49.
Divide StartFraction a Over 11 EndFraction by 11; the solution is 540.

required rate of return = 0.166 = 16.6%

step-by-step explanation:

under the capital asset pricing model (capm), the required or expected rate of return for a particular security or asset is given using the formula:

required rate of return = risk-free rate + beta*(market risk premium)

we are given that;

risk-free rate = 4% = 0.04

beta = 1.4

market risk premium = 9% = 0.09

we simply plug these values into the above formula;

required rate of return = 0.04 + 1.4*(0.09)

required rate of return = 0.04 + 0.126

required rate of return = 0.166 = 16.6%

is there any other information given for this problem? this is not enough information.

im super bad at school but u for some reason need to have points to ask questions and you get points by answering so thats all im doing sorry for t r o l l i n g  

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