Michael wants to buy a new car that will cost $14,149. if michael plans to save $1,011 per month, how many months will be necessary to save?

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%

should have been evaluated with one odd value and one even value. the expressions have equivalent values when . when , the first expression has a value of 3 and the second

step-by-step explanation: