Problem $12-13$ Relative Valuation $($LO$3,$ CFA$3)$ Stock Y has a beta of $1\mathrm{.}02$ and an expected return of $13\mathrm{.}05$ percent. Stock Z has a beta of $0\mathrm{.}40$ and an expected return of $7\mathrm{.}5$ percent. What would the risk$-$free rate have to be for the two stocks to be correctly priced relative to each other? Note: Do not round intermediate calculations. Enter your answer as a percent rounded to $2$ decimal places.