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Question 5 4 p Which of the following statements is most correct? (Assume that the risk-free rate remains constant.) of the market risk premium increases

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Question 5 4 p Which of the following statements is most correct? (Assume that the risk-free rate remains constant.) of the market risk premium increases by 1 percentage point, then the required return on all stocks will rise by 1 percentage point If the market risk premium increases by 1 percentage point, then the required return will increase for stocks that have a beta greater than 1.0, but it will decrease for stocks that have a beta less than 10. of the market risk premium increases by 1 percentage point, then the required return will increase by 1 percentage point for a stock that has a beta etual to 10

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