When all these changes are made what will be the difference


Harmonic Products (HP) has a beta of 1.75, while Long-Beach Enterprises beta is 0.45. The risk-free rate is 5.5% and the required rate of return on an average stock is 11.75%. Now the expected rate of inflation built into Rrf falls by 1.25 percentage points, the "real" risk-free rate remains constant, the required return on the market falls to 10.3 %, and the beta remains constant. When all these changes are made, what will be the difference in the required returns on HP's and LBE's stocks?

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Financial Management: When all these changes are made what will be the difference
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