Asample of 36 observations is selected from a normal population. the sample mean is 12, and the population standard deviation is 3. conduct the following test of hypothesis using the 0.01 significance level. h0: μ ≤ 10 h1: μ > 10 is this a one- or two-tailed test?

One tail test.

Step-by-step explanation:

Given : A sample of 36 observations is selected from a normal population. The sample mean is 12, and the population standard deviation is 3.

Also, The set of hypothesis to conduct a test :-

The kind of test need to perform is dependent upon the alternative hypothesis.

Since, the alternative hypothesis is one tailed (right-tailed), so the test is one tail test.

24

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%