A Texas House representative proposed placing solar panels on all public schools to increase green energy and reduce energy costs for districts. Suppose a manufacturer's panels will be purchased only
if real world results of the proposed panels have an average efficiency rating greater than 18%. A
random selection of 32 panels results in a mean efficiency rating of 0.182 with a standard deviation of
0.006. Based on a 95% confidence interval, should the panels be purchased?

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%

the answer is d

step-by-step explanation:

you can also use mathway to get you answer + steps

i think you would have to divide the money he had saved, which is $2,000 by the time he plans on exercising which is 40 hours, and the answer you get should tell you the answer to your question.