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40. If the expected return on the market portfolio (i.e., Rm ) is 18%, if the risk-free rate (i.e., Rt ) is 9% and if

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40. If the expected return on the market portfolio (i.e., Rm ) is 18%, if the risk-free rate (i.e., Rt ) is 9% and if the beta of Homton, Inc. stock is 1.57 , what is the equilibrium expected rate of return on Homton's stock according to the Capital Asset Pricing Model (CAPM)? (Record your answer rounded to I decimal place; for example, record 18.29654% as 18.3 ). 41. If the beta of Braxton, Inc, stock is 1.51 , the risk-free rate (Ri) is 3.5%, and the market risk premium is 4.8%, what is the equilibrium expected rate of retum on Braxton's stock according to the Capital Asset Pricing Model (CAPM)? (Recond your answer rounded to I decimal place; for example, record 18.29654% as 18.3 )

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