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Suppose you observe the following situation: Security Beta Expected Return Peat Co . 1 . 5 0 1 4 . 5 Re - Peat Co

Suppose you observe the following situation:
Security Beta Expected Return
Peat Co.1.5014.5
Re-Peat Co..7510.6
Assume these securities are correctly priced. Based on the CAPM, what is the expected return on the market? What is the risk-free rate?Suppose you observe the following situation:
Assume these securities are correctly priced. Based on the CAPM, what is the expected
return on the market? What is the risk-free rate? (Round your answer to 2 decimal
places. Omit the "%" sign in your response.)
Expected return
Risk-free rate
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