Question
The index model has been estimated for stocks A and B with the following results: R A = 0.12 +0.640 R M + e A
The index model has been estimated for stocks A and B with the following results:
RA = 0.12 +0.640RM + eA
RB = 0.04 + 1.464RM + eB
M = 0.300
(eA) = 0.20
(eB) = 0.10
What is the correlation coefficient between the two stocks?
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The Language Of Influence And Personal Power
Authors: Scott Hagan
1st Edition
1944833560, 978-1944833565
