Do I substitute the numbers into the formula?Consider a two factor economy. Assume the risk-free rate = 3%, and the risk premiums are RP1 = 10%, RP2 = 8%. The return on stock ABC is generated according to the following equation:rABC.08-0.55F1+1.2F2+eABCAssume that the stock is currently priced at $50 per share.What is the expected return for stock ABC using the APT? If the expected price next year will be $55, what is the stock price now that will not allow for arbitrage profits?Assume that the risk free rate increases to 4%, with the other variables remaining unchanged. Would you recommend to buy or sell stock ABC?