11. Problem 8.11 (CAPM and Required Return) Calculate the required rate of return for Mudd Enterprises assuming that investors expect a 3.3% rate of inflation in the future. The real risk-free rate is 1.0%, and the market risk premium is 8.0%. Mudd has a beta of 2.4, and its realized rate of return has averaged 8.5% over the past 5 years. Round your answer to two decimal places. % 10. Problem 8.10 (CAPM and Required Return) Beale Manufacturing Company has a beta of 1.3, and Foley Industries has a beta of 0.50. The required return on an index fund that holds the entire stock market is 12%. The risk-free rate of interest is 2.5%. By how much does Beale's required return exceed Foley's required return? Do not round intermediate calculations. Round your answer to two decimal places. %