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A Stock Has a Covariance of 0

Question 60

Multiple Choice

A stock has a covariance of 0.0834 with the market. The standard deviation of the stock is 48 percent, and the standard deviation of the market is 26 percent. What is the beta of the stock?


A) 1.05
B) 0.36
C) 1.19
D) 1.23
E) 0.67

Correct Answer:

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