An investor is considering to buy stock in either Tesla Inc. or Volkswagen. She recalls the CAPM model from her previous finance courses, and decides to buy the stock with the higher alpha after adjusting for risk using the CAPM. Tesla has a beta of 1.3 and earned a stock return of 14.1% last year, while Volkswagen has a beta of 1.02 and earned a stock return of 11.6%. The risk-free rate is 1.5% and the market risk premium is 7%. The investor believes that last years return is representative of the stock's performance, and not influenced by random luck. Based on the CAPM, which stock should the investor buy and what would be her expected excess return? Does the investor believe she is taking extra risk to achieve this extra return