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As the required rate of return on an asset decreases 1. Asset prices increase because the cash flows increase II. Asset prices increase because the

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As the required rate of return on an asset decreases 1. Asset prices increase because the cash flows increase II. Asset prices increase because the present value of cash flows increases III. Asset prices decrease because there is a negative relationship between prices and retums a. I only b. III only c. II only d. 1 and 11 e. II and 111

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