Answer:
Option C. The required return will fall for all stocks, but it will fall more for stocks with higher betas.
Explanation:
If the Market Risk Premium is expected to fall, it means investor require less return for the same investment, it happens because when you make an investment you compare you return with the WACC (discount rate for investments) which includes the Market Risk Premium, if the rate is lower the investor will require less return.
The impact through Beta ratio will be higher if the company's beta is more than one, because this ratio amplify the impact of the Market Risk Premium either up or down.
Do you have any choices to choose from? But, I do think that one of your answers is radioactive isotopes
Answer:
A. norms.
Explanation:
Based on the information provided within the question it can be said that in this case, the sales department has developed norms. This term refers to unwritten rules regarding behavior and various actions that considered by the company or society as being acceptable for the environment in which you are in. Such unwritten rules include dress codes and specific work hours, as defined in this scenario.