Question
) Your assistant has been gathering information. Specifically, she has found the standard deviation of the market returns is 3.2% and the standard deviation
) Your assistant has been gathering information. Specifically, she has found the standard deviation of the market returns is 3.2% and the standard deviation of the stock's returns is 12.5%. In addition, she has found that the risk-free rate is 3% and the expected market risk premium is 5.5%. If the expected return on the stock is 7.31%, what is the correlation coefficient between the stock and the market?
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Income Tax Fundamentals 2013
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