The CFO of MediSearch plc believes that investing into a project which will develop a new drug for fighting the flu virus, promises a long$-$term annual return of $13\%.$ The expected return of the market index is RM

$=15\mathrm{.}7\%,$ the volatility of the market index is $\backslash$sigma M

$=11\mathrm{.}6\%,$ and the risk$-$free asset earns Rf

$=5\mathrm{.}8\%.$ The CFO has studied similar projects of other companies and believes that the covariance between the returns of this project and the returns of the market is $\backslash$sigma P$,$M

$=0\mathrm{.}0084($in decimal form$).$

This question has $3$ parts $($i$.$e$.,$ you will be clicking "Verify" $3$ times$).$

What is the the CAPM, what should be the required return of the project given its beta of $0\mathrm{.}62?$ Enter your answer rounded to two decimal places.

Number

$\%$