The common stock of Manchester & Moore is expected to earn 14.6 percent in a recession, 8 percent in a normal economy, and lose 4.6 percent in a booming economy. The probability of a boom is 17 percent while the probability of a recession is 6 percent. What is the expected rate of return on this stock? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

Suppose the common stock of United Industries has a beta of 0.8 and an expected return of 9.5 percent. The risk-free rate of return is 2.7 percent while the inflation rate is 2.3 percent. What is the expected market risk premium? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)