You Observe That AT&T Stock and the S&P 500 Have

question 36

Multiple Choice

You observe that AT&T stock and the S&P 500 have the following weekly returns: Week AT&T return S&P 500 return
1 0.005 0.001
2 0.010 0.005
3 -0.003 -0.005
4 -0.005 -0.001
If this pattern of stock returns is typical of AT&T stock, and you calculated a beta against the S&P 500, which of the following is true?

• A)AT&T's beta is negative.
• B)AT&T's beta is zero.
• C)AT&T's beta is positive.
• D)Cannot be determined from information given.

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Definitions:

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An emotional state that can vary in intensity from mild irritation to intense fury and rage, often triggered by perceived wrongs.

Persistent Inflammation

Ongoing or chronic inflammation in the body that can lead to various diseases, including arthritis, heart disease, and diabetes due to continuous activation of the immune system.

Clogged Arteries

A condition caused by the buildup of plaque inside the blood vessels, leading to reduced blood flow and increased risk of cardiovascular diseases.

Asthma

A chronic respiratory condition characterized by episodes of airway constriction, leading to wheezing, coughing, and shortness of breath.