The risk$-$free rate is $4\%$ and the expected rate of return on the market portfolio is $9\%.$

Calculate the required rate of return on a security with a beta of $1\mathrm{.}28.$

Note: Do not round intermediate calculations. Enter your answer as a percent rounded to $2$ decimal places.

If the security is expected to return $12\%,$ is it overpriced or underpriced?