Question: Suppose you observe the following situation: Security Beta Expected Return Pete Corp. 1.60 0.170 Repete Co. 1.29 0.143 Assume these securities are correctly priced. Based

Suppose you observe the following situation:
Security Beta Expected Return
Pete Corp. 1.60 0.170
Repete Co. 1.29 0.143

Assume these securities are correctly priced. Based on the CAPM, what is the expected return on the market?

(Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16))

Expected return on market %

What is the risk-free rate? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16))
Risk-free rate %

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