At the beginning of 2007 (the year the iPhone was introduced), Apple's beta was 1.2 and the risk-free rate was about 4.1 %. Apple's price was $ 84.38. Apple's price at the end of 2007 was $ 191.53. If you estimate the market risk premium to have been 5.5 %, did Apple's managers exceed their investors' required return as given by the CAPM?

The expected return is?

The realized return is?