dont understand this

Question 10 (4 points) According to CAPM, Tesla's expected return rate is 13.5% and its Beta is 2.2. If the expected return rate of the stock market is 7.5%, what must be the risk-free rate? Question 11 (4 points) Bill plans to open a do-it-yourself dog-grooming center. The property and equipment will cost $40,000 in year 0. Bill expects the cash inflows to be $15,000 annually for the next 4 years after which there will be no residual value left. The cost of capital is 10% and Bill has to recover the investment in 2.5 years. What is the project's payback period (PB)? Could the project be accepted? SO DW V $ % 3 & 7 8 9 E RT DFG H J K L