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    If Investors Become More Pessimistic About Market Conditions, What Impact
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If Investors Become More Pessimistic About Market Conditions, What Impact

Question 60

Question 60

Multiple Choice

If investors become more pessimistic about market conditions, what impact is anticipated for the required return on equities? The required return will:


A) decrease.
B) increase.
C) stay the same.
D) increase in the short-term but decrease in the long-term.

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