Question: What does a correlation value of +0.9 indicate? Multiple choice question. The stock returns have a slight tendency to move together. The stock returns tend

What does a correlation value of +0.9 indicate? Multiple choice question. The stock returns have a slight tendency to move together. The stock returns tend to move closely, although not perfectly, together. There is little relationship between the movements of the stock returns. The stock returns have a strong tendency to move in opposite directions, although not perfectly so.

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

What does a correlation value of zero indicate? Multiple choice question. Stocks returns that move in opposite directions over time Stock returns that move in the same direction over time Stock...

What does a correlation value of 0 . 9 indicate? The stock returns tend to move closely, although not perfectly, together. The stock returns have a strong tendency to move in opposire directions,...

LILLE, MySp!course_assessment id=_109117_1&course_id=_59763_18content id-_11409117_1&step=null Remaining Time: 43 minutes, 40 seconds. Question Completion Status: QUESTION 4 Which of the following...

BUSINESS LAW - BLAW150 - Winter 2017 Instructor: Frank Fischer ASSIGNMENT #2 - 1st Alternative DUE DATE: Friday April 21, 2017 11:59 pm I have decided to create two (2) alternative assignments for...

Wed Agr 2 7 . 2 8 pM ning.mheducation.cem FiN - 3 5 0 Class Resourcts MC Sraw 4 in 2 5 of 3 2 Concepts completed Multiple Choice Question What does a correlation value of zero indicate? Stock returns...

1. What is the issue being addressed in the paper? 2. What are the findings of the paper? 3. Why is this paper important to auditors, and what are the implications of this paper for the auditing...

This text was adapted by The Saylor Foundation under a Creative Commons Attribution-NonCommercial-ShareAlike 3.0 License without attribution as requested by the work's original creator or licensee. 1...

Stock Returns and Variance Estimating stock returns, variance and standard deviation. Problem 1: You bought 100 shares of Starbucks Corp. (SBUX) 7 years ago (1 Aug 95) for $5.00 per share and sold...

Criteria Exemplary 6 points Accomplishe d 4.8 points Developing 3.6 points Beginning Minimum Below Standards 2.4 points 1.2 points Formulated, wrote, interpreted, argued, and evaluated...

You helped me a couple of weeks ago. I was wondering if i could setup a time for tomorrow that you could be available to help me with some questions. I will pay $20 per question. They are short and I...

What is meant by the terms expenditure-changing policy and expenditure-switching policy? Give some examples of each.

Touch Toiletries Inc. has developed an addition to its Lizard man Cologne line tentatively branded Ode dToade Cologne. Unit variable costs are 45 cents for a 3-ounce bottle, and heavy advertising...

A store manager obtained a loan of $25,000, 6/3/8% at interest, for 15 months to purchase supplies. Find the amount of simple interest. (Round to the nearest cent)

A company is preparing completing their Cash Budget. The following data has been prepared for cash receipts and payments. January February March Cash receipts $1,061,200 $1,182,400 $1,091,700 Cash...