Estimates of a Stock's Beta May Vary Depending on

question 96

Multiple Choice

Estimates of a stock's beta may vary depending on
I. when the estimate was made
II. the standard deviation of the stock's returns
III. how many months of returns were used to estimate the beta
IV. the index used to represent market returns.

• A) I, II and IV only
• B) II and IV only
• C) I, III and IV only
• D) I, II and III only

---

Definitions:

Absolute Threshold

The minimum intensity of stimulation required to produce a sensory experience or for a stimulus to be detected 50% of the time.

Just Noticeable Difference

The minimum amount by which stimulus intensity must be changed in order to produce a noticeable variation in sensory experience.

Action Potentials

Quick electrical impulses that travel down the axon of a neuron, triggering the release of neurotransmitters at synapses.

Proximal Stimulation

Proximal stimulation refers to the sensory information received directly from stimuli that are in close proximity to the sensory receptors.