What Is the Most Logical Explanation for a + 2

question 42

Multiple Choice

What is the most logical explanation for a + 2.0% return on a stock with a Beta of 1.0 in a month where the market returned + 1.0%?

• A)the stock is aggressive.
• B)the market is undervalued.
• C)favourable firm-specific news was reported.
• D)the Beta is incorrect.

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Definitions:

Sodium Bicarbonate

A chemical compound with the formula NaHCO3, commonly known as baking soda, used in baking, cleaning, and antacid preparations.

Baking Soda

A white crystalline compound used in baking as a leavening agent, known chemically as sodium bicarbonate.

Buttermilk

Originally the liquid leftover from churning butter, now often commercially made by adding bacteria to skim milk.

Chemical Difference

The variation in composition and properties between substances due to differences in their molecular or atomic structure.