You did some valuation work on Microsoft and determined that the stock is fairly priced. You estimated the Expected Return to be $11\mathrm{.}5\%.$ The yield on the $10-$year US Treasury is $4\%,$ and the expected return on the S&P$500$ is $10\%.$

What is your estimate of beta?

$2\mathrm{.}58$

$1\mathrm{.}92$

$1\mathrm{.}15$

$1\mathrm{.}25$