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Suppose you observe the following situation: a. Assume these securities are correctly priced. Based on the CAPM, what is the expected return on the market?

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Suppose you observe the following situation: a. Assume these securities are correctly priced. Based on the CAPM, what is the expected return on the market? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b. What is the risk-free rate? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

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