Question: A security has a beta of 1.2. Is this security more or less risky than the market? Explain. Assess the impact on the required return

A security has a beta of 1.2. Is this security more or less risky than the market? Explain. Assess the impact on the required return of this security in each of the following cases.
a. The market return increases by 15%.
b. The market return decreases by 8%.
c. The market return remains unchanged.

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