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Air Canada Stock Has a Standard Deviation of 18%,while the Market

Question 94

Multiple Choice

Air Canada stock has a standard deviation of 18%,while the market index standard deviation is 8%.If the correlation between Air Canada and the market index is 0.45,what is the beta of Air Canada stock?


A) 1.01
B) 0.03
C) 0.2
D) 2.25
E) 2.5

Correct Answer:

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