Multiple Choice
Suppose the following equation best describes the evolution of β over time:
Βt= 0.3 + 0.2βt-1
If a stock had a β of 0.8 last year,you would forecast the β to be _______ in the coming year.
A) 0.46
B) 0.60
C) 0.70
D) 0.94
E) none of the above
Correct Answer:
Verified
Correct Answer:
Verified
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