What Would Not Be True About a GNP Beta

question 26

Multiple Choice

What would not be true about a GNP beta?

• A)If a equity's b GNP = 1.5,the equity will experience a 1.5% increase for every 1% surprise increase in GNP.
• B)If a equity's b GNP = -1.5,the equity will experience a 1.5% decrease for every 1% surprise increase in GNP.
• C)It is a measure of risk.
• D)It measures the impact of systematic risk associated with GNP.
• E)None of the above.

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