An Analyst Computes a Beta Coefficient with a Low Standard

question 37

Multiple Choice

An analyst computes a beta coefficient with a low standard error. This implies that

• A)this particular beta is more reliable than most.
• B)this particular beta has little meaning.
• C)too few observations were used to compute this particular beta.
• D)this stock responds less to market changes than most stocks.

---

Definitions:

Replace Fonts

The action of changing one font style to another within a document or graphic design.

Change Fonts

The action of modifying the typeface used in a document or graphical user interface to improve readability or aesthetics.

Calibri

A sans-serif typeface family designed by Luc(as) de Groot for Microsoft, widely used as a default font in various software applications.

Tahoma

A humanist sans-serif typeface that was designed for Microsoft Corporation.