cramirezorozco5226 cramirezorozco5226
  • 11-11-2020
  • Business
contestada

A stock has a correlation with the market of 0.53. The standard deviation of the market is 29%, and the standard deviation of the stock is 32%. What is the stock's beta?

Respuesta :

Parrain
Parrain Parrain
  • 12-11-2020

Answer: 0.58

Explanation:

Given the parameters in the question, Beta can be solved by the following formula;

= Correlation with market * ( Standard deviation of stock / Standard deviation of market)

= 0.53 * (32%/29%)

= 0.58

Answer Link

Otras preguntas

Common multiples of 4 and 7
Seaweed and kelp are _____ algae.A.brown b. red c. fire d. golden-brown
Ben wants to buy 2 blue sweaters for $119 each and 3 brown sweaters for $44 each. how much will ben spend on the five sweaters?
One benefit of a sound community plan to deal with a hazardous materials emergency is: a. Fewer resources are required to handle the incident B. Roles and resp
The United States is one of five permanent members of the United Nations’ __________. a. general assembly b. security council c. administrative board d. peaceke
Who invaded Constantinople in 1453?
Karen is making 14 different kinds of greeting cards.She is making 12 of each Kind.How many greeting cards is she making?
what is 9 times 475 in expanded form and the distributive property
There are 8 teachers going to the science museum.If each teacher pays $15 to get inside how much did the teachers pay? $________________?
The cloud of interstellar dust and gas that forms a star is known as a A. protostar. B. white dwarf. C. red giant. D. nebula. User: 15. With an average surfac