Suppose tre = 6% 13%, and b 1.4 a. What is ri, the required rate of return on Stock i? Round your answer to two decimal places. 96 b. 1. Now suppose nur increases to 79. The slope of the SML remains constant. How would this affect me and ? 1. he will remain the same and will increase by 1% 11. i will increase by 19 and n will remain the same. TIL. Both nt and will decrease by 19. IV. Both and n will remain the same V. Both TM and n will increase by 19 -Select- Full Bot 2. Now suppose ner decreases to 5%. The slope of the SML remains constant. How would this affect and n? 1. Both and will remain the same. II. Both and will decrease by 1%. IIIHe will decrease by 1% and will remain the same. IV. n will remain the same and will decrease by 1% V. Bothne and will increase by 1% C 1. Now assume that to remains at 6%, but it increases to 14%. The slope of the SML does not remain constant. How would these changes affect n Round your answer to two decimal places. The new r will be 2. Now assume that remains at 6%, but falls to 12%. The slope of the SML does not remain constant. How would these changes affect ? Round your answer to two decimal places The new will be 96