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Yonan Corporation's stock had a required return of 11.5% last year, when the risk-free rate was 6.6% and the market risk premium was 4%. Now
Yonan Corporation's stock had a required return of 11.5% last year, when the risk-free rate was 6.6% and the market risk premium was 4%. Now suppose there is a shift in investor risk aversion, and the market risk premium increases by 2.3%. The risk-free rate and Yonan's beta remain unchanged. What is Yonan's new required return?
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