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If a security has a GNP beta of 1.5, then the securitys total rate of return will: A. change by an amount equal to 1.5

If a security has a GNP beta of 1.5, then the securitys total rate of return will:

A.

change by an amount equal to 1.5 times the percentage amount of any unexpected change in GNP.

B.

change by an amount equal to the unexpected percentage change in GNP divided by a factor of 1.5.

C.

increase by 1.5 percent for every 1 percent decrease in GNP.

D.

increase by 1.5 percent whenever the GNP increases by 1.5 percent.

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