Suppose the real risk-free rate is 3.50% and the future rate of inflation is expected to be constant at 5.00%. What rate of return would you expect on a 1-year Treasury security, assuming the pure expectations theory is valid? Include cross. product terms, t.e. if averaging is required, use the geometric average. (Round your final answer to 2 decimal places.) 7.11% 8.67% 10.41% 9.89% 10.67%