The Covariance of the Returns Between Einstein Stock and Bohr

question 19

Multiple Choice

The covariance of the returns between Einstein Stock and Bohr Stock is 0.0087. The standard deviation of Einstein is 0.26, and the standard deviation of Bohr is 0.37. What is the correlation coefficient between the returns of the two stocks?

• A) 0.090437
• B) 0.096200
• C) 0.90437
• D) 0.96200

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