Suppose that the market can be described by the following three sources of systematic risk with associated risk premiums.

Factor	Risk Premium
Industrial production (I)	7%
Interest rates (R)	4
Consumer confidence (C)	6

The return on a particular stock is generated according to the following equation:

r = 15% + 1.1I + 0.6R + 0.90C + e

a-1.	Find the equilibrium rate of return on this stock using the APT. The T-bill rate is 7%. (Do not round intermediate calculations. Omit the "%" sign in your response.)

Equilibrium rate of return

%