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An anaiyst veleves that infiation is golng to increase by 2.00 over the next year, while the market riak premiuth wil be unchanged. The analyst
An anaiyst veleves that infiation is golng to increase by 2.00 over the next year, while the market riak premiuth wil be unchanged. The analyst uses the Cabital Ascet Pricing Model (CAPM). The folloming oraph plots the current SML. Calculate Hapwr Corp. new reauired return. Then, on the oraphy, use the green boints (rectangle symbols) to plot the new SML suggested by this anglysts prediction. Mappy Cotpos new requlred rate of refum in
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