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The stock of Wendy's has a of 0.47, while the stock of Popeye has a of 1.12. If the market return goes up by 1%,
The stock of Wendy's has a of 0.47, while the stock of Popeye has a of 1.12. If the market return goes up by 1%, which of the following statements is correct?
A.The stock return for Wendy's will increase more than the stock return for Popeye.
B. The stock return for Popeye will increase more than the stock return for Wendy's.
C. The stock return for Wendy's and the stock return for Popeye will increase by the same amount.
D. It depends on the risk-free rate.
E. None of the above
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