Multiple Choice
If the correlation coefficient between the returns on stock C and stock D is +1.0, the standard deviation of return for stock C is 15 percent, and that for stock D is 30 percent, calculate the covariance between stock C and stock D.
A) +45
B) -450
C) +450
D) -45
Correct Answer:
Verified
Correct Answer:
Verified
Q57: Mega Corporation has the following returns for
Q58: The standard deviation of U.S. returns, from
Q59: The portfolio risk that cannot be eliminated
Q60: If the standard deviation of annual returns
Q61: The correlation coefficient between stock B and
Q63: What has been the approximate standard deviation
Q64: Sun Corporation has had returns of -6
Q65: Diversification reduces the risk of a portfolio
Q66: How can individual investors diversify?
Q67: For the most part, stock returns tend