Question: The expected return on Hilo stock is 14.90 percent while the expected return on the market is 13 percent. The beta of HiLo is 1.31.

The expected return on Hilo stock is 14.90 percent while the expected return on the market is 13 percent. The beta of HiLo is 1.31. What is the risk-free rate of return?

Can i please have a break out for this in excel. I am aware of the answer just uncertain as to how they arrived at that answer. Thank you in advance!

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