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Question 1 (2 points) If investors decrease their expectation regarding the risk level of a particular stock (i.e., think it is less risky, now than

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Question 1 (2 points) If investors decrease their expectation regarding the risk level of a particular stock (i.e., think it is less risky, now than what they thought yesterday), what should happen to the current price of that stock? It may increase or decrease, but there is no standard relationship between risk and equity value It should decrease It should remain unchanged, as risk does not influence stock prices and returns It should increase

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