PLEASE ITS URGENT,PLEASE ITS URGENT,PLEASE ITS URGENT, Let us denote rSP500, rApple and rMicrosoft as...
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PLEASE ITS URGENT,PLEASE ITS URGENT,PLEASE ITS URGENT,
Let us denote rSP500, rApple and rMicrosoft as daily rates of return for S&P500, Apple and Microsoft. If we use data from last 5 years on these daily returns, the obtain the following relationship based on this data: 0.83*rApple= rSP500 + 0.00067 0.95*rMicrosoft= rSP500 + 0.00019 Which stock has a higher beta?
A Microsoft
B Both have same beta
C Need correlation information between Apple and Microsoft stocks
D Apple
E Need data on prices, not rate of returns
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