Multiple Choice
The index model for stock A has been estimated with the following result:RA = 0.01 + 0.94RM + eAIf σM = 0.30 and R2A = 0.28, the standard deviation of return of stock A is
A) 0.2025.
B) 0.2500.
C) 0.4500.
D) 0.5329.
Correct Answer:
Verified
Correct Answer:
Verified
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