Question 12
Asset A has a correlation of 0.4 with the market and a standard deviation of 16%. If the market return has a standard deviation of 4%, what is the beta of asset A?
1.6
-0.6
0.75
2.5
Question 12: Asset A has a correlation of 0.4 with the market and a s…
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Correct answer
1.6
Question 12 of 25 in the IIT Madras BS Corporate Finance (Corporate Finance) Quiz 2 paper sat on 16 Mar 2025, in the January 2025 term (IIT M DEGREE AN EXAM QDB2 16 Mar 2025). It carries 4 marks.
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