Research Indicates That the Correlation Coefficient Between Successive Days' Share

question 7

Multiple Choice

Research indicates that the correlation coefficient between successive days' share price changes is:

• A) quite close to +1.
• B) quite close to zero.
• C) quite close to -1.
• D) directly related to the share's beta.

---

Definitions:

Sales Promotion Expenditures

The financial investment allocated towards marketing strategies and campaigns designed to increase immediate consumer demand and stimulate sales of a product or service.

Consumer-Oriented Sales Promotions

Marketing strategies aimed at inducing consumers directly to purchase products through methods such as coupons, discounts, and contests.

Coupons

Vouchers or codes that offer a discount or deal, used as a promotional strategy to encourage consumers to try a product or service.

Premiums

Goods offered for free or at a low cost as an incentive to purchase a product or service.