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Suppose the risk premium of the market portfolio increased from 6% to 7%, While the beta of Walmart decreased from 0.4 to 0.3. Assuming the
Suppose the risk premium of the market portfolio increased from 6% to 7%, While the beta of Walmart decreased from 0.4 to 0.3. Assuming the risk-free rate didn't change, according to the CAPM the expected return on Walmart's stock... You must show work to get full credit. decreased by 0.3% didn't change increased by 0.3% increased by 0.6% none of the above
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