You Have Plotted the Data for Two Securities Over Time

question 44

Multiple Choice

You have plotted the data for two securities over time on the same graph,i.e.,the month return of each security for the last 5 years.If the pattern of the movements of the two securities rose and fell as the other did,these two securities would have:

• A)no correlation at all.
• B)a weak negative correlation.
• C)a strong positive correlation.
• D)a strong negative correlation.
• E)one can not get any idea of the correlation from a graph.

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Definitions:

Learning Disability

A neurological disorder that affects a person's ability to process, store, and produce information, impacting learning in areas such as reading, writing, and math.

Reaction Time

Reaction time is the amount of time it takes for a person to respond to a stimulus, indicating the speed of cognitive processing and physical response.

Respond to Stimulus

The process by which organisms perceive and react to changes in their environment or to specific external factors.

Dyslexia

An educational disorder where individuals struggle with reading because of their inability to recognize and connect speech sounds to letters and words.