4. A lumberyard wanted to do a survey to see if its customers were interested in purchasing rope along with
lumber. Four different groups volunteered to do the study for them. Which group should do the study so the
bias is minimal?
A a mill
B a polyester company
C a nylon company
Da university

answer: i think one of the answer is $150 and $300?

step-by-step explanation:

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%