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If inflation is expected to increase by 005 next year but

The US government T-bill has a yield of 0.07, the Wilshire 5000 is expected to yield 0.10, and a stock's beta is 1.7. If inflation is expected to increase by 0.05 next year, but everything else remains the same, what will the new cost of retained earnings be?

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Finance Basics: If inflation is expected to increase by 005 next year but

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