the index model for stock B has been estimates with the following result; R a =0.01 + 1.1 Rm + ea. if om = .20 and the R2b = 0.50, the standard deviation of the return on Stock B is?

uestion: The index model for stock B has been estimated with the following res B = 0.01 + 1.1Ru ea Ou = 0.20 and R = 0.50, the standard deviation of the return on stock B is O B 0.2111 C 0.3111 O D 0.4111 O E None of the above