QUESTION 10

Assume that you are analyzing an issue of common stock. Your research shows that the stock has a beta of = 1.89. This beta suggests that:

	A.	the stocks returns move in the same direction as the market, but by a smaller amount.
	B.	the stocks returns move in the same direction as the market, but by a larger amount.
	C.	the stocks returns move in the opposite direction from the market, but by a smaller amount.
	D.	the stocks returns move in the opposite direction from the market, but by a larger amount.
	E.	none of the above.