Suppose the Following Equation Best Describes the Evolution Of $\beta$ Over Time

Multiple Choice

Suppose the following equation best describes the evolution of $\beta$ over time: $\beta$ _t = 0.4 + 0.6 $\beta$ _{t - 1}.
If a stock had a $\beta$ of 0.9 last year, you would forecast the $\beta$ to be _______ in the coming year.

A) 0.45
B) 0.60
C) 0.70
D) 0.94