Suppose rRF = 4%, rM = 10%, and b = 1.1. a. What is n, the required rate of return on Stock i? Round your answer to two decimal places. b. 1. Now suppose RF increases to 5%. The slope of the SML remains constant. How would this affect rm and n? I. rm will remain the same and will increase by 1%. II. Im will increase by 1% and i will remain the same. III. Both rm and will decrease by 1%. IV. Both rm and i will remain the same. V. Both rm and i will increase by 1%. -Select- 2. Now suppose TRF decreases to 3%. The slope of the SML remains constant. How would this affect rm and n? I. Both rm and i will decrease by 1%. II. I will decrease by 1% and will remain the same. III. Im will remain the same and will decrease by 1%. IV. Both rm and i will increase by 1%. V. Both rm and I will remain the same. -Select- c. 1. Now assume that rRF remains at 4%, but I'm increases to 11%. The slope of the SML does not remain constant. How would these changes affect n? Round your answer to two decimal places. The new n will be %. 2. Now assume that rrr remains at 4%, but I falls to 9%. The slope of the SML does not remain constant. How would these changes affect n? Round your answer to two decimal places. The new n will be %