Are the following statements true or false? Why? a. All else equal, the futures price on a

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Are the following statements true or false? Why?
a. All else equal, the futures price on a stock index with a high dividend yield should be higher than the futures price on an index with a low dividend yield.
b. All else equal, the futures price on a high-beta stock should be higher than the futures price on a low-beta stock.
c. The beta of a short position in the S&P 500 futures contract is negative.

Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...
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Investments

ISBN: 9780073530703

9th Edition

Authors: Zvi Bodie, Alex Kane, Alan J. Marcus

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