Spider Corp has a beta of 1.4. The risk-free rate is 1.2% and the market risk premium is 6.5% .(Note market risk premium is rm- rf) What is the required return on Spider's stock according to the CAPM? (Express in decimals up to four places example .0576)

Crayola Corp has an outstanding bond with a coupon rate of 4.0% per year which matures in 2041. If you require a rate of 4.1% per year on this bond, what is the value of the Crayola bond? (Of course the bond is par value $1000 and pays semi-annual coupon payments.)