1.Provide the CAPM required return on a cloud computing technology stock in a cloud with a 15% risk-free rate, a 15% risk premium, and a Beta of 15.

2. You have originated a fixed mortgage at 4%. Assuming a call provision is embedded in the indenture, if rates rose to 5.4%, what would you likely do? If rates fell to 2.4%, what action would you be inclined to do? In both cases, what would a decrease in inflation change about your actions?