Consider the following table, which gives a security analysts expected return on two stocks in two particular scenarios for the rate of return on the market:

Market Return		Aggressive Stock		Defensive Stock
6	%	4	%	7	%
23		37		11
What hurdle rate should be used by the management of the aggressive firm for a project with the risk characteristics of the defensive firms stock if the two scenarios for the market return are equally likely? Also, assume a T-Bill rate of 7%. (Do not round intermediate calculations. Round your answer to 2 decimal places.) Hurdle Rate ?