You Are Constructing a Scatter Plot of Excess Returns for Stock

question 25

Multiple Choice

You are constructing a scatter plot of excess returns for Stock A versus the market index.If the correlation coefficient between Stock A and the index is -1 you will find that the points of the scatter diagram ______________________ and the line of best fit has a ______________.

• A) all fall on the line of best fit; positive slope
• B) all fall on the line of best fit; negative slope
• C) are widely scattered around the line; positive slope
• D) are widely scattered around the line; negative slope

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Definitions:

Myoglobin

A crimson-colored protein, which includes heme, responsible for transporting and holding oxygen within muscle cells, and closely resembles the structure of hemoglobin.

Motor Units

Refers to the combination of a motor neuron and the skeletal muscle fibers innervated by that motor neuron's axonal terminals.

Muscle Fibers

Long, slender cells that make up muscles, capable of contracting to produce movement in parts of the body.

Trained Muscle

Muscle that has undergone physiological changes due to exercise, enhancing its strength, endurance, or size.