1

You are given the following information from the Sea Breeze hotel:

Standard deviation of the market= 12%

Beta () of the Sea Breeze hotel = 1.25

Correlation between return of Sea Breeze and the market = 0.95

Based on this information, the standard deviation of the Sea Breeze hotel is equal to..

2

You are given the following information from the Sea Breeze hotel:

Standard deviation of Sea Breeze = 20%

Beta () of the Sea Breeze hotel = 1.25

Correlation between return of Sea Breeze and the market = 0.85

Based on this information, the standard deviation of the market is equal to..

Group of answer choices

5.21

13.6

6.13

2.51