FREE Trial
Answered step by step
Verified Expert Solution
Link Copied!
Question
1 Approved Answer

26. The historical rate of return on stock xyz was regressed on the rate of return of stock M. The slope of the regression line

26. The historical rate of return on stock xyz was regressed on the rate of return of stock M. The slope of the regression line was 0.8, the standard deviation of the residuals was .3 and the standard deviation of the rate of return of M was 0.2. What was the standard deviation of the rate of return XYZ?

A.0.460

B.0.349

C.0.286

D. None of the above

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image
Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Technical Analysis Of Stock Trends
Technical Analysis Of Stock Trends

Authors: Robert D. Edwards, John Magee, W.H.C. Bassetti

11th Edition

1032241829, 978-1032241821

More Books

Students explore these related Finance questions

Question

Expansion of the Trade Adjustment Assistance (TAA) program would improve the social safety net for the 21st century, as advances permit more industries to take advantage of cheap foreign laboreven...

Answered: 3 weeks ago

Question

Evaluate your own leadership performance. How could you improve?

Answered: 3 weeks ago

Question

use action regulation theory as a framework for understanding how demands at work affect workers;

Answered: 3 weeks ago

Question

Jen and Barrys Ice Milk Company used cash to purchase a new ice milk mixer on January 1, 2011. The new mixer is estimated to have a 20,000-hour service life. Jen and Barrys depreciates equipment on...

Answered: 3 weeks ago

Question

You are organizing a wedding. You will make a list of guests and invite them. Arrangements need to be made for those who come from afar, and who need a hotel. You need to search, decide on, and...

Answered: 3 weeks ago

Question

First Bank is considering either a bankwide overhead rate or departmental overhead rates to allocate $500.000 of indirect costs. The bank wide rate would be e de labor hours. The departmental rates...

Answered: 3 weeks ago

Question

Contrary to the strategy of maintaining a large inventory adopted by most American retailers, 7-11 is more selective in the products that they put on shelves. 7-11 chooses to shelve products that are...

Answered: 3 weeks ago

Question

AApproximate air as a mixture of 7 8 % Nitrogen and 2 2 % oxygen ( by moles ) . Calculate the followings for air using values you find in ( A . 5 ) . Be careful about units. ( a ) Specific gas...

Answered: 3 weeks ago

Question

(7) (2 pts) Location update is an important task to perform as a mobile unit moves around in a mobile IP network. If we use indirect-routing, new location update only needs to be done at the home...

Answered: 3 weeks ago

Question

A 8 B = 0.25, 0.50 105 0 The uniform slender bar has an ideal roller at its upper end A. Determine the minimum value of the angle e for which equilibrium is possible for us = 0.25 in degrees round...

Answered: 3 weeks ago

Question

Figures 2 show a statically determinate beam under distributed loading conditions where C is the constant. q(x) = C(2x- - x L Figure 2 A RA L RB a) Determine the resultant of the distributed load...

Answered: 3 weeks ago

Question

Why should it be necessary for a department manager to pay any particular attention to employees who steadily fulfill their responsibilities and cause no problems?

Answered: 3 weeks ago

Question

This is a simple job were filling. It is a no-brainer, the department manager said, so just send me a warm body. If the first person doesnt work out, we can always get someone else, and weve lost...

Answered: 3 weeks ago

Question

Describe the components of a typical outplacement service package. Explain why such services are almost always provided by an external vendor.

Answered: 3 weeks ago

Previous Question Next Question