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If the risk-free rate of return ( r F ) increases by 1%, how would that affect the return on a stock according to the

If the risk-free rate of return (rF) increases by 1%, how would that affect the return on a stock according to the SML, assuming other things being equal?

a. Stocks return will be equal to rF.

b. Stocks return decreases by 1%.

c. Stocks return increases by 1%.

d. Stocks return is not affected.

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