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If the beta of a stock is 0.5, the market risk premium is 7%, and the risk-free rate is 6%, what would be the required

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If the beta of a stock is 0.5, the market risk premium is 7%, and the risk-free rate is 6%, what would be the required rate of return for the stock in the market based on the SML? Also, if the SML shows that the required rate of return for stocks of this type (with beta 0.5 ) is 6.75% (Assume this line), would you put this above or below the SML? 8.5% and above 9.5% and above 6% and above 8.5% and below Question 10 (3 points) Reverse stock splits are used to bring low priced shares up to the more desirable trading levels true false

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