A Simple Linear Regression of the Return of Firm a

question 54

Multiple Choice

A simple linear regression of the return of firm A ( ) on the return of firm B ( ) ,based on 18 observations,is = 2.2 + 0.4 .If the coefficient of determination from this regression is 0.09 calculate the correlation between and .

• A)0.03
• B)0.04
• C)0.09
• D)0.30

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