A stock has a required retum of 9%, the risk-free rate 154.5%, and the market risk premium is 4%. a. What is the stock's beta? Round your answer to two decimal places. b. If the market nisk premium increased to 7%, what would happen to the stock's required rate of return? Assume that the riskefree rate and the beta remain unchanged, Do not round intermediate calculations. Round your answer to two decimal places. 1. If the stock's beta is greater than 1.0, then the change in required rate of return will be greater than the change in the market risk premium. 11. If the stock's beta is less than 1.0, then the change in required rate of retum will be greater than the change in the market rak premium. III. If 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 piremium. IV. If the stock's beta is equal to 1.0 , then the change in required rate of retum will be greater than the change in the market nisk preniunt. V. If the stock's beta is equal to : 1.0 , then the change in required rate of return will be less than the change in the market risk premiun- Stock's required rate of return will be