Suppose you observe the following situation:

Security	T20.0	T15.0
Beta	2.39	0.77
Expected Return	20.0	15.0

Requirement-A. If the current market data shows that the risk-free rate is 3.94 percent, are these securities correctly priced? <1 mark>

Requirement-B. What would the risk-free rate have to be if these securities are correctly priced? <1 mark>

Requirement-C. If these two securities are correctly priced, find the market risk premium (using the findings of Requirement-B). <1 mark>

Requirement-D. Draw the Security Market Line (SML) with clear labels, and plot these two securities on the graph along with the market and risk-free rate (using the findings of Requirements B and C). <1 mark>