Attempts Keep the Highest / 15 S. Problem 8.05 (Beta and Required Rate of Return) eBook A stock has a required retum of 14%, the risk free rate is 5.5%, and the market risk premium is 3% What is the stock's beta? Round your answer to two decimal places. b. If the market nsk premium increased to 7%, what would happen to the stock's required rate of return? Assume that the risk-free rate and the beta remain unchanged. Do not round intermediate calculations. Round your answer to two decimal places 1. If the stock's bett is less than 1,0, then the change in required rate of return will be greater than the change in the market risk premium 11. 1f the stock's beta is greater than 1,0, then the change in required rate of return will be less than the change in the market risk premium III. If the stock's beta is equal to 1.0, then the change in required rate of return will be greater than the change in the market risk premium IV, if the stocks beta is equal to 10, then the change in required rate of return will be less than the change in the market risk premium V. If the stock's bete is greater than 10, then the change in required rate of return will be greater than the change in the market fisk premium Select Stock's required rate of return will be