Suppose you observe the following situation:

a$.$ Calculate the expected return on each stock.

Note: Do not round intermediate calculations and enter your answers as a percent rounded to $2$ decimal places, e$.$g$.,32\mathrm{.}16.$

b$.$ Assuming the capital asset pricing model holds and Stock A$\text{'}$s beta is greater than Stock B$\text{'}$s beta by $\mathrm{.}32,$ what is the expected

market risk premium?

Note: Do not round intermediate calculations and enter your answer as a percent rounded to $2$ decimal places, e$.$g$.,32\mathrm{.}16.$