Multiple Choice
The stock of ABC, Inc.has a beta of .80.The market rate of return is expected to increase by by 5%.Beta predicts that ABC stock should
A) increase in value by 6.25%.
B) increase in value by 4.0%.
C) decrease in value by 1.0%.
D) increase in value by .8%.
Correct Answer:
Verified
Correct Answer:
Verified
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