Question: Question 7 (1 point) According to the CAPM, if the risk-free rate is constant and the market risk premium (RmRr) creases byl centage point O

Question 7 (1 point) According to the CAPM, if the risk-free

Question 7 (1 point) According to the CAPM, if the risk-free rate is constant and the market risk premium (RmRr) creases byl centage point O a. Then the required return on all stocks will rise by 1 percentage point. O b. Then the required return will increase by 1percentage point for a stock that has a beta of 1.0 c. Then the required return will increase for stocks that have a beta greater than 1.0, but it will decrease for stocks that have a beta less than 1.0 d. Then the required return may increase or decrease depending on what happens to the beta of each stock

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