The Correlation Coefficient Will Always Take Values

question 27

Multiple Choice

The correlation coefficient will always take values

• A)greater than 0.
• B)between -1 and 0.
• C)between -1 and +1.
• D)less than -1.

---

Definitions:

Return Requirement

The expected rate of return that an investment needs to generate to be considered worthwhile.

Cash Flows

The overall totality of financial exchanges inside and outside a company, deeply affecting its ability to have cash on hand.

Under-Valued

A term used to describe a security that is trading below its perceived true market value.

Amortized Loan

A loan with scheduled periodic payments that consist of both principal and interest, typically paid monthly, until the loan is fully repaid at the end of its term.