Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Stock A and Stock B have had the following observed (!) returns for the past three years: -12%, 11%, 32%; and 15%, 6%, 24% respectively.
Stock A and Stock B have had the following observed (!) returns for the past three years: -12%, 11%, 32%; and 15%, 6%, 24% respectively. Calculate the correlation between the two securities, in decimal form, precise to three digits after the comma.
A)0.477
B)0.447
C)0.048
D)0.377
E)0.487
F)0.471
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started