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Kazeem Systems Corp has a beta coefficient of 1.7 and a required rate of return of 15%. The market risk premium is currently 5%. If
Kazeem Systems Corp has a beta coefficient of 1.7 and a required rate of return of 15%. The market risk premium is currently 5%. If the inflation premium increases by 2 percentage points, and Kazeem acquires new assets which increase its beta by 50%, what will be Kazeem's new required rate of return?
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