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Air Canada Stock Has a Standard Deviation of 25%,while the Market

Question 78

Multiple Choice

Air Canada stock has a standard deviation of 25%,while the market index standard deviation is 12%.If the correlation between Air Canada and the market index is 0.33,what is the beta of Air Canada stock?


A) 2.08
B) 0.16
C) 0.69
D) 2.75
E) 1.32

Correct Answer:

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