Question: Two shares, each paying a $ 1 dividend that will grow 8% annually. Stock A has a beta of 1.3; the beta of Stock B

Two shares, each paying a $ 1 dividend that will grow 8% annually. Stock A has a beta of 1.3; the beta of Stock B is beta 0.8. Which of the two stocks is more volatile?

1. Action A

2. Action B

3. None

4. They are both equally volatile

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