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HR Industries (HRI) has a beta of 2.2 , while LR Industries' (LRI) beta is 0.80 . The riskfree rate is 3%, and the required

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HR Industries (HRI) has a beta of 2.2 , while LR Industries' (LRI) beta is 0.80 . The riskfree rate is 3%, and the required rate of return on an average stock is 10%. The expected rate of inflation built into rRF falls by 1.0 percentage points, the real risk-free rate remains constant, the required return on the market falls to 9.0%, and all betas remain constant. After all of these changes, what will be the difference in the required returns for HRI and LRI, that is, rHRIrLRI. 9.31% 10.29% 10.78% 9.80% 8.82%

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