A stock has an expected return of $10\mathrm{.}45$ percent, its beta is $\mathrm{.}85,$

$2$ and the expected return on the market is $11\mathrm{.}8$ percent. What

must the risk$-$free rate be$?$

Input area:

Stock E$($R$)$: $10\mathrm{.}45\%$

Stock beta: $0\mathrm{.}85$

Market E$($R$)$: $11\mathrm{.}80\%$

$($Use cells A$6$ to B$8$ from the given information to complete this question.$)$

Output area:

Risk$-$free