Anybody on here wanna help me out tho? Refer to Exercise 11. Suppose you rent a car using Option 1. Write an expression that gives the total cost in dollars to rent a car for d days and m miles. Then find the cost for renting a car for 2 days and driving 70 miles.

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%

you have to put the graph on here with the question

step-by-step explanation: