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Assume that in recent years both expected and the market risk premium ( r M - r BP ) have declinedAssume also that all stocks

Assume that in recent years both expected and the market risk premium (r M -r BP ) have declinedAssume also that all stocks have positive betasWhich of the following would be most likely to have occurred as result of these changes? The average required on the markethas remained constant, but the required returns have fallen for stocks that

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