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lf the stock market return increases by 10% and an individual stock's return increases by 20% in response to the change in the stock market,
lf the stock market return increases by 10% and an individual stock's return increases by 20% in response to the change in the stock market, beta for that particular stock will be ___. A) less than 1 B) equal to 1 C) greater than 1 D) negative According to the article "Are Dow Transports a Dark Signal for the Economy" earnings of S&P500 companies have been declining, while P/E ratios have increased. This means that: A) The stock market is more vulnerable to unexpected economic weakness. B) Investors have been willing to pay more per dollar of earnings than they were before. C) Both of the above statements are true. D) Neither of the above statements are true because P/E ratios cannot increase if corporate profits are declining
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