Assume that the following two assets, A and $B,$ are correctly priced according to the security

market line. The expected returns are $E(r_A)=6\%,$ and $E(r_B)=12\%,$ and their market betas

are ${}_A=0\mathrm{.}5,$ and ${}_B=1\mathrm{.}5.$

Write the equation for the security market line for some asset $i.$

Using the data provided, calculate the risk$-$free rate, $r_f,$ and the market risk premium.

What is the expected return on an asset with a market beta of $2?$