The Common Stock of Blasco Books Has a Standard Deviation

question 37

Multiple Choice

The common stock of Blasco Books has a standard deviation of 16.4 percent as compared to the market standard deviation of 12.7 percent.The covariance of this stock with the market is .0217.What is the beta of Blasco Books' stock?

• A) 0.96
• B) 1.05
• C) 1.07
• D) 1.35
• E) 1.42

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Definitions:

Canalized

A process by which the genetic development of an organism is guided by the environment so that a certain phenotype is produced regardless of variability in the environment or genetics.

Niche Construction

The process by which organisms alter their own and each other’s environments, potentially affecting both their own evolution and that of other species.

Environmental Modification

The process of changing or altering the environment to suit specific needs or to mitigate detrimental impacts on human and ecological health.

Kinship Studies

Research and analysis focusing on family relationships and how they influence behaviors, traits, and social structures.