Calculate the required rate of return for an asset

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Reference no: EM131902406

A. Calculate the required rate of return for an asset that has a beta of 0.12, given a risk- free rate of 4.6% and a market return of 10.5%.

B. If investors have become more risk- averse due to recent geopolitical events, and the market return rises to 14.2%, what is the required rate of return for the same asset?

a. The quired rate of return for the asset is _% (round to two decimal places.)

b. If investors have become more risk- averse due to recent geopolitical events, and the market return rises to 14.2%, the required rate of return for the same asset is _%. (Round to two decimal places)

Reference no: EM131902406

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