OB pays $50 at the beginning of every 6-month period for the next 5 years (a total of 10 payments), E pays $100 at the beginning of every year for the next 5 years (a total of 5 payments). pays $500 at the end of 5 years (a total of one payment). Question 11 8 Stock of Ford Inc. (F) has a beta of 3.5, while stock of AT&T Inc. (T) has a beta of 0.5. The required return on an index fund that holds the entire stock market is 7 percent. The risk-free rate of interest is 1 percent. By how much does F's required return exceed T' required return? (CAPM)