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Betas and risk rankings Personal Finance Problem You are considering three stocks - A, B, and C- for possible inclusion in your investment portfolio. Stock
Betas and risk rankings Personal Finance Problem You are considering three stocks - A, B, and C- for possible inclusion in your investment portfolio. Stock A has a beta of 1.8, stock B has a beta of 0.3, and stock Chas a beta ol - 02. a. Rank these stocks from the most risky to the least risky. b. If you believed that the stock market was getting ready to experience a significant decline, which stock should you add to your portfolio? c. If you anticipated a major stock market rally, which stock would you add to your portfolio? a. Which stock is the most risky one? (Select the best answer below.) O A. Stock A OB. Stock C O C. Stock B Which stock is the least risky one? (Select the best answer below.) O A. Stock B OB. Stock A O c. Stock C b. If you felt that the stock market was getting ready to experience a significant decline, which stock should you add to your portfolio? (Select the best answer below.) O A. Stock A OB. Stock B O c. Stock C c. If you anticipated a major stock market rally, which stock would you add to your portfolio? (Select the best answer below.) O A. Stock B OB. Stock C Ctral A
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