Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Question 2 2 pts The coefficient of correlation between Stock A and the S&P 500 is 0.49. The returns on the S&P500 have a standard

image text in transcribed

Question 2 2 pts The coefficient of correlation between Stock A and the S&P 500 is 0.49. The returns on the S&P500 have a standard deviation of 0.01, and the returns on Stock A have a standard deviation of 0.33. What is the market beta of Stock A? Please give your answer to two decimal places

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

Step: 3

blur-text-image

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

Finance Applications And Theory

Authors: Marcia Cornett, Troy Adair, John Nofsinger

2nd Edition

0073530670, 9780073530673

More Books

Students also viewed these Finance questions

Question

Describe the problems in the administration of disciplinary action.

Answered: 1 week ago

Question

Explain discipline and disciplinary action.

Answered: 1 week ago