$8-10$ CAPM AND REQUIRED RETURN Beale Manufacturing Company has a beta of $1\mathrm{.}1,$ and Foley Industries has a beta of $0\mathrm{.}30.$ The required return on an index fund that holds the entire stock market is $11\%.$ The risk$-$free rate of interest is $4\mathrm{.}5\%.$ By how much does Beale's required return exceed Foley's required return?