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QUESTION 20 21 The index model has been estimated for stock A with the following results: R A = 0.01 + 0.8R M + e

QUESTION 20

The index model has been estimated for stock A with the following results: R_A= 0.01 + 0.8R_M+ e_A _M= 0.20, (e_A) = 0.20 Calculate the standard deviation for stock A.

	A.	0.0656
	B.	0.0676
	C.	0.2561
	D.	0.2600
	E.	none of the above

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