If the risk co-efficient, beta, for McDonald's Corporation is .9, what can be said about the fluctuation of the company's returns?
A) They are similar to, but not as volatile, as the returns from the market as a whole.
B) They are nearly non-existent.
C) They cannot be calculated without a beta value for the market as a whole.
D) They are significantly more volatile than the returns from the market a whole.
E) They are similar to, but more volatile, than the returns from the market as a whole.
Correct Answer:
Verified
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