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1 The information regarding the risk level of three different stocks is presented below. 1. Which stock has the highest level of risk? Interpret the

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1 The information regarding the risk level of three different stocks is presented below. 1. Which stock has the highest level of risk? Interpret the beta of that stock. 2. Which stock has the level of risk that is closest to the market level of risk? How do we measure the market level of risk? (10 points) Beta Standard Deviation Flyinc 2.1 15.8% AirCo 1.1 17.3% SkyCorp 0.8 21.5%

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