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he following graph plots the current security market line (SML) and indicates the return that investors require from holding stock from Happy Corp. HC), Based

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he following graph plots the current security market line (SML) and indicates the return that investors require from holding stock from Happy Corp. HC), Based on the graph, complete the table that follows: An analyst believes that inflation is going to increase by 2.0% over the next year, while the market risk premium will be unchanged. The analyst uses the Copital Asset Pricing Model (CAPM), The following graph plots the cirrent SML. Calculate Happy Corp.s new required return. Then, on the graph, use the green points (rectangle symbols) fo plot the new SML supposted by this analvst's prediction: Heppr Corps's new required rate of return is

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