Horse Stock Returns Have Exhibited a Standard Deviation of 0

question 60

Multiple Choice

Horse Stock returns have exhibited a standard deviation of 0.57, whereas Mod T Stock returns have a standard deviation of 0.63. The correlation coefficient between the returns is 0.078042. What is the covariance of the returns? Round your answer to six decimal places.

• A) 0.028025
• B) 0.217327
• C) 0.359100
• D) 0.993094

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Definitions:

Videoconferencing

A technology that allows users in different locations to hold face-to-face meetings without having to move to a single location physically.

Telepresence

Technology that allows a person to feel as if they are present, to give the appearance of being present, or to have an effect, somewhere other than their true location.

UC

Unified Communications, which integrates multiple methods of communication, such as email, voice, and video conferencing, into a single interface.

Communication

The act of transferring information from one place, person, or group to another.