Martin corporation purchased land in 2007 for $290,000. in 2015, it purchased a nearly identical parcel of land for $460,000. in its 2015 balance sheet, martin valued these two parcels of land at a combined value of $920,000. by reporting the land in this manner, martin corp. has violated the

Mikkelson corporation's stock had a required return of 12.50% last year, when the risk-free rate was 3% and the market risk premium was 4.75%. then an increase in investor risk aversion caused the market risk premium to rise by 2%. the risk-free rate and the firm's beta remain unchanged. what is the company's new required rate of return? (hint: first calculate the beta, then find the required return.) do not round your intermediate calculations.