Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. you expect (gm) to have a beta of 1.3 over the nex

You expect (GM) to have a beta of 1.3 over the next year and the...

80.2K

Verified Solution

Question

Accounting

You expect (GM) to have a beta of 1.3 over the next year and the beta of Exxon Mobil (XOM) to be 1.9 over the next year. Also, you have the volatility of (GM) to be 40% and (XOM) to be 30% over the next year. Which stock has the more systemic risk? Which stock has more total risk?

A) XOM,GM

B) XOM, XOM

C) GM, XOM

D) GM, GM

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

Thunder Corporation, an amusement park, is considering a capitalinvestment in a new exhibit. The...

Accounting
Q

The college bookstore tells prospective students that the average cost of its textbooks is $108 with...

Basic Math
Q

You just got a job in the respiratory department of a large teaching hospital. You...

Biology
Q

14 With the TSI agar an organism that does not ferment any of the carbohydrates...

Biology
Q

1 What gas is being produced to create the gas bubble 2 Production of this...

Biology
Q

e binding energies of nuclei X and Y are E and E respectively Two oms...

Physics
Q

Consider the graph of the function f x x 6X 7 x 2x 63 What...

Calculus
Q

The function f is given by f x 5 0 7 Which of the following...

Calculus
Q

Treasury Stock Transactions Ebenezer Consulting had no treasury stock at the beginning of the year....

Accounting
Q

BE 21-4 Analyzing income under absorption and variable costing Variable manufacturing costs are $126 per...

Accounting
Q

Stock A just distributed a dividend of $4. It is expected that the company will...

Finance
Q

Suppose we have a simple bond which has exactly 1.5-years until maturity. The bond pays...

Finance