Security a and Security B Have a Correlation Coefficient of 0.If

question 12

Multiple Choice

Security A and Security B have a correlation coefficient of 0.If Security A's return is expected to increase by 10 percent,

• A)Security B's return should also increase by 10 percent
• B)Security B's return should decrease by 10 percent
• C)Security B's return should be zero
• D)Security B's return is impossible to determine from the above information

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Definitions:

Private Property

Land or belongings owned by individuals or companies, not by the government or the public.

Bad Brakes

Refers to malfunctioning or inadequately performing braking systems in vehicles, which can lead to increased risk of accidents.

Liable

Legally responsible or accountable for actions or outcomes, often necessitating compensation for damages or loss caused.

Defect

A flaw or imperfection in a product or document that makes it inadequate or puts it out of compliance with standards or expectations.