Stock A has a beta of 0.7, whereas Stock B has a beta of 1.3. Portfolio P has 50% invested in both A and B. Which of the following would occur if the market risk premium increased by 1% but the risk-free rate remained constant?

	a.	The required return for Stock A would fall, but the required return for Stock B would increase.
	b.	The required return on Portfolio P would remain unchanged.
	c.	The required return on both stocks would increase by 1%.
	d.	The required return on Portfolio P would increase by 1%.
	e.	The required return on Stock A would increase by more than 1%, while the return on Stock B would increase by less than 1%.