Stock lb has a beta of 0.5 and stock hb has a beta of 1.5. the market is in equilibrium, with required returns equaling expected returns. which of the following statements is correct? a. if both expected inflation and the market risk premium (rm − rrf) increase, the required return on stock hb will increase by more than that on stock lb. b. if both expected inflation and the market risk premium (rm − rrf) increase, the required returns of both stocks will increase by the same amount. c. since the market is in equilibrium, the required returns of the two stocks should be the same. d. if expected inflation remains constant but the market risk premium (rm − rrf) declines, the required return of stock hb will decline but the required return of stock lb will increase. e. if expected inflation remains constant but the market risk premium (rm − rrf) declines, the required return of stock lb will decline but the required return of stock hb will increase.

After testing its water, a city water department issues a report to the related citizens, noting what chemicals have been identified, their doses, and the estimated risks of exposure at these levels. this report represents a type of

Listed below are several transactions that took place during the first two years of operations for the law firm of pete, pete, and roy.year 1 year 2amounts billed to clients for services rendered $ 170,000 $ 220,000 cash collected from clients 160,000 190,000 cash disbursements salaries paid to employees for services rendered during the year 90,000 100,000 utilities 30,000 40,000 purchase of insurance policy 60,000 0 in addition, you learn that the company incurred utility costs of $35,000 in year 1, that there were no liabilities at the end of year 2, no anticipated bad debts on receivables, and that the insurance policy covers a three-year period.required: 1. & 3. calculate the net operating cash flow for years 1 and 2 and determine the amount of receivables from clients that the company would show in its year 1 and year 2 balance sheets prepared according to the accrual accounting model.2. prepare an income statement for each year according to the accrual accounting model.

Predict how the price of athletic shorts would change if schools banned their use