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Question 10 of 25 Data for Dana Industries is shown below. Now Dana acquires some risky assets that cause its beta to increase by 30.0%.
Question 10 of 25 Data for Dana Industries is shown below. Now Dana acquires some risky assets that cause its beta to increase by 30.0%. In addition, expected inflation increases by 0.80%. What is the stock's new required rate of return? Do not round your intermediate calculations. 1.00 10.20% 6.00% 30.00% 0.80% Initial beta Initial required return (rs) Market risk premium, RPM Percentage increase in beta Increase in inflation premium, IP O a. 11.90% O b. 15.87% c. 9.98% d. 12.80% e. 16.00% 0 lcon Key Question 10 of 25
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