The return on US T-Bills is 6%, inflation is 3% and the risk premium of the S&P 500 is 12%. If a stock has a beta of 1.3, what is the expected real rate of return for the stock?

Note: Please show work without the use of a financial calculator.

The return on US T-Bills is 6%, inflation is 3% and the risk premium of the S&P 500 is 12%. If a stock has a beta of 1.3, what is the expected real rate of return for the stock? O 10.5% O 18.1% O 17.1% O 21.6% O 13.8%