Multiple Choice
The index model has been estimated for stock A with the following results: RA = 0.01 + 1.2RM + eA.
ΣM = 0.15; σ(eA) = 0.10.
The standard deviation of the return for stock A is
A) 0.0356.
B) 0.1887.
C) 0.1600.
D) 0.6400.
Correct Answer:
Verified
Correct Answer:
Verified
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