In a recent closely contested lawsuit, Apex sued Bpex for patent infringement. The jury came back today with its decision. The rate of return on Apex was ra = 3.2%. The rate of return on Bpex was only rb = 2.6%. The market today responded to very encouraging news about the unemployment rate, and rM= 3%. The historical relationship between returns on these stocks and the market portfolio has been estimated from index model regressions as: Apex: ra = 0.5% + 1.6FM Bpex: rb = -0.1% + 0.4rM a. What is the predicted returns for Apex & Bpex? (Do not round intermediate calculations. Round your answers to 1 decimal place.) Predicted Returns % Apex Bpex %