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Calculate the Consumption Beta for an Asset with a Standard 0.15 0.15

Question 33

Multiple Choice

Calculate the consumption beta for an asset with a standard deviation of 10%,where the variance of consumption growth is 10% and the covariance between the growth rate in consumption and the asset is 0.015.


A) 0.15 0.15
B) 0.50 0.50
C) 0.75 0.75
D) 1.50 1.50

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