Let's assume that the expected rate of return on the stock market is 0.16 and the expected return on a 10-year Treasury note (a proxy for risk-free interest rate) is 0.056. Assume that the stock you are analyzing has a beta of 1.65 and an expected rate of 0.258. Calculate the required rate of return using CAPM.

		0.4817
		0.2276
		0.32
		0.3893