Santos Inc. has a beta of 1.32 while Ambrose Co. has a beta of 0.82. The required return on an index fund that holds the entire stock market is 7% and the risk-free rate of interest is 3.5%. By how much does Santos' required return exceed Ambrose's required return? 1.58% 1.75% 2.09% 2.97% 3.48%