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Assume that both portfolios A and B are well diversified, that E(rA) = 12%, and E(rB) = 9%

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Assume that both portfolios A and B are well diversified, that E(r_A) = 12%, and E(r_B) = 9%. If the economy has only one factor, and β_A = 1.2, whereas β_B = 0.8, what must be the risk-free rate? (Do not round intermediate calculations. Round your answer to 2 decimal places.)