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Suppose that in the coming year, you expect Rackspace Hosting s stock to have a standard deviation of 2 4 % and a beta of
Suppose that in the coming year, you expect Rackspace Hostings stock to have a standard deviation of and a beta of and SolarWinds stock to have a standard deviation of and a beta of Which of the following statement is correct?
A
Systematic risk is measured by beta, therefore, Rackspace Hostings stock has more systematic risk.
B
Total risk is measured by beta; therefore, Rackspace Hostings stock has more total risk.
C
Total risk is measured by standard deviation; therefore, Rackspace Hostings stock has more total risk.
D
Total risk is measured by beta; therefore, SolarWinds stock has more total risk.
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