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The stock of Arbor Pet Trees (APT) is priced based on the given systematic risk factors. Estimated sensitivities to these risk factors are given by

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The stock of Arbor Pet Trees (APT) is priced based on the given systematic risk factors. Estimated sensitivities to these risk factors are given by the betas of the regression RAPT-Rrf-pcreditR-redit + value Rvalue + + Factor Risk Premium Beta Credit Risk 4.4% Valuation Risk|4.3% 0.8 0.4 Risk-free rate 2.1% What is the expected return on the stock of Arbor Pet Trees if the stock is fairly valued

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