Quantitative Problem: You are given the following information for Wine and Cork Enterprises $($WCE$)$:

$r_{RF}=4\%$;$rM=9\%$;$RPM=5\%,$ and beta $=1\mathrm{.}4$

What is WCE's required rate of return? Do not round intermediate calculations. Round your answer to two decimal places.

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If inflation increases by $3\%$ but there is no change in investors' risk aversion, what is WCE's required rate of return now? Do not round intermediate calculations. Round your answer to two decimal places.

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Assume now that there is no change in inflation, but risk aversion increases by $2\%.$ What is WCE's required rate of return now? Do not round intermediate calculations. Round your answer to two decimal places.

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If inflation increases by $3\%$ and risk aversion increases by $2\%,$ what is WCE's required rate of return now? Do not round intermediate calculations. Round your answer to two decimal places.

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