Suppose you are given the following information. The beta of company i, bi , is 1.5, the risk-free rate, rRF , is 5 percent, and the expected market premium, rM?-rRF , is 5.5 percent. (Assume that ai=0.0 .) b. Because your company is smaller than average and more successful than average (that is, it has a low book-to-market ratio), you think the Fama-French three-factor model might be more appropriate than the CAPM. You estimate the additional coefficients from the Fama-French three-factor model: The coefficient for the size effect, ci? , is 0.5, and the coefficient for the book-to-market effect, di? , is -0.2. If the expected value of the size factor is 6 percent and the expected value of the book-to-market factor is 3 percent, what is the required return using the Fama-French three-factor model? Round your answer to two decimal places