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Mikkelson Corporation's stock had a required return of 1 3 . 7 5 % last year, when the risk - free rate was 3 %
Mikkelson Corporation's stock had a required return of last year, when the riskfree rate was and the market risk premium was Then an increase in investor risk aversion caused the market risk premium to rise by The riskfree rate and the firm's beta remain unchanged. What is the company's new required rate of return? Hint: First calculate the beta, then find the required return. Do not round your intermediate calculations.
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