Suppose you observe the following situation:

Assume these securities are correctly priced. Based on the CAPM, what is the expected return on the

market? $($Do not round intermediate calculations. Round the final answers to $2$ decimal places.$)$

Pete Corp. Expected Return on Market: $\_\_\_\_\_\%$

Repete Co$.$ Expected Return on Market: $\_\_\_\_\_\%$

What is the risk$-$free rate? $($Do not round intermediate calculations. Round the final answer to $3$ decimal places.$)$

Risk$-$free rate $\_\_\_\_\_\%$