Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Sep 06, 2024

The coefficient of correlation between Stock A and the S&P 500 is 0.62. The returns on the S&P500 have a standard deviation of 0.08, and

The coefficient of correlation between Stock A and the S&P 500 is 0.62. The returns on the S&P500 have a standard deviation of 0.08, and the returns on Stock A have a standard deviation of 0.50. What is the market beta of Stock A? Please give your answer to two decimal places. image text in transcribed

Question 2 0/2 pts The coefficient of correlation between Stock A and the S&P 500 is 0.62. The returns on the S&P500 have a standard deviation of 0.08, and the returns on Stock A have a standard deviation of 0.50. What is the market beta of Stock A? Please give your answer to two decimal places. You Answered 0.0992 Correct Answer 3.875 margin of error +/- 0.01

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

Global Finance And The Macroeconomy

Global Finance And The Macroeconomy

Authors: A. Makin

1st Edition

0333736982, 978-0333736982

More Books

Students also viewed these Finance questions

Question

★★★★★

Freight out should be classified as a direct offset to sales, not as an expense. Do you agree? Explain.

Answered: 1 week ago

Question

★★★★★

What are the major authorization principles the auditor should investigate regarding both cash management and investments in marketable securities

Answered: 1 week ago

Question

★★★★★

5. Find and analyze a film in which there is interpersonal conflict between the four different character types delineated in this chapter.

Answered: 1 week ago

Question

★★★★★

Tata Consultancy of Bombay, India, is an international computer consulting firm. It spends considerable time and effort recruiting the best personnel from Indias leading technical schools. Tata...

Answered: 1 week ago

Question

★★★★★

PLEASE ANSWER THE FOLLOWING QUESTIONS Problem 12.40A a-h You have been given the following information about the production of Gamma Co., and are asked to provide the plant manager with information...

Answered: 1 week ago

Question

★★★★★

Activity 5: Commodity Super cycle? Got any cheese for your pizza? Shortages of all sorts of stuff including commodites. Commodity Super Cycle Are we in another commodity super cycle (or is it just...

Answered: 1 week ago

Question

★★★★★

Current Attempt in Progress The following transactions of Beltville College transpired during 2025. The funds necessary are the Endowment Fund, the Annuity Fund, the Plant Fund-Unexpended, the Plant...

Answered: 1 week ago

Question

★★★★★

Given Information:" Enter a formula in the place of each "?" Make sure to use a conditional statement in cell D33. 1 Cash on hand at the company and not yet deposited at the bank. 5,475 2 EFT for...

Answered: 1 week ago

Question

★★★★★

B. Franc earns $15 an hour as a delivery driver. His company also pays him $30 a week for car maintenance. What is the function that describes Franc's weekly earnings? 1 answer

Answered: 1 week ago

Question

★★★★★

1. Matilda has been highly agitated for the past 2 weeks, particularly when watching TV. She believes that news stories about crimes occurring nationally are directed at her and that the reporters...

Answered: 1 week ago

Question

★★★★★

Greg, 40, and Melanie, 38, come to therapy with their son Adrian, who is 13. Greg explains that Adrian has always been a little different. He describes his son as a reader and a dreamer who was...

Answered: 1 week ago

Question

★★★★★

Locus of control: the extent to which employees feel they have sufficient control of their environment in order to benefit from performance-related pay;

Answered: 1 week ago

Question

★★★★★

Individualismcollectivism: the extent to which rewards are distributed on the basis of individual performance;

Answered: 1 week ago

Question

★★★★★

Ascriptionachievement status: the extent to which it is appropriate to reward ascribed status or achievement in the job;

Answered: 1 week ago

Previous Question Next Question