Suppose that two factors have been identified for the U.S. economy: the growth rate of industrial production, IP, and the inflation rate, IR. IP is expected to be 6%, and IR 3.6%.

A stock with a beta of 2.2 on IP and 1.5 on IR currently is expected to provide a rate of return of 9%.

If industrial production actually grows by 8%, while the inflation rate turns out to be 5.0%, then what is revised estimate of the expected rate of return on the stock?