Stock A has beta of 1.2 and Stock B has beta of 1. The returns of Stock A are____ sensitive to changes in the market as the returns of Stock B. Slightly less 20% less Slightly more 20% more
Stock A has beta of 1.2 and Stock B has beta of 1. The returns of Stock A are____ sensitive to changes in the market as the returns of Stock B. Slightly less 20% less Slightly more 20% more
Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter2: Risk And Return: Part I
Section: Chapter Questions
Problem 12P: Stock R has a beta of 1.5, Stock S has a beta of 0.75, the expected rate of return on an average...
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Stock A has beta of 1.2 and Stock B has beta of 1. The returns of Stock A are____ sensitive to changes in the market as the returns of Stock B.
- Slightly less
- 20% less
- Slightly more
- 20% more
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