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You have the following information: A B с Alpha 1.85% 2% -2.36% 0% Beta 1.36 0.95 1.98 1 Res. 2.00% 0.90% 1.60% 0.00% Variance Std.Dev 15% 12% 11% 8% Excess 7.90% Return Based on the Single Index Model, what is the covariance between stock B and stock C? Note: Round to 3 decimals. The margin of error here is +/- 0.02. Market

You have the following information: A B с Alpha 1.85% 2% -2.36% 0% Beta 1.36 0.95 1.98 1 Res. 2.00% 0.90% 1.60% 0.00% Variance Std.Dev 15% 12% 11% 8% Excess 7.90% Return Based on the Single Index Model, what is the covariance between stock B and stock C? Note: Round to 3 decimals. The margin of error here is +/- 0.02. Market

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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You have the following information: A B C Alpha 1.85% 2% -2.36% 0% Beta 1.36 0.95 1.98 1 Res. 2.00% 0.90% 1.60% 0.00% Variance Std.Dev 15% 12% 11% 8% Excess 7.90% Return Based on the Single Index Model, what is the covariance between stock B and stock C? Note: Round to 3 decimals. The margin of error here is +/- 0.02. Market
Transcribed Image Text:You have the following information: A B C Alpha 1.85% 2% -2.36% 0% Beta 1.36 0.95 1.98 1 Res. 2.00% 0.90% 1.60% 0.00% Variance Std.Dev 15% 12% 11% 8% Excess 7.90% Return Based on the Single Index Model, what is the covariance between stock B and stock C? Note: Round to 3 decimals. The margin of error here is +/- 0.02. Market
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