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Question 65 0.5 pts Mikkelson Corporation's stock had a required return of 14.50% last year, when the risk-free rate was 2% and the market risk
Question 65 0.5 pts Mikkelson Corporation's stock had a required return of 14.50% last year, when the risk-free rate was 2% and the market risk premium was 5.75%. Then an increase in investor risk aversion caused the market risk premium to rise by 2%. The risk-free rate and the firm's beta remain unchanged. What is the company's new required rate of return? (Hint: First calculate the beta, then find the required return) Do not round your intermediate calculations. O 14.36% 18.85% O 16.50% 19.71% O 13.04%
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