Problem $12-11$ Abnormal returns

Analysis of $60$ monthly rates of return on United Futon common stock indicates a beta of $1\mathrm{.}65$ and an alpha of $-0\mathrm{.}40\%$ per month. A

month later, the market is up by $7\%,$ and United Futon is up by $8\%.$ What is Futon's abnormal rate of return?

Note: A negative answer should be indicated by a minus sign. Do not round intermediate calculations. Enter your answer as a

percent rounded to $2$ decimal places.

Rate of return