Assume last month a stock with a beta of 1.0 lost 2% while the S&P 500 had a 1% gain. Given this it is most likely that the:
A) stock's beta has been calculated incorrectly.
B) S&P 500 cannot represent the overall market.
C) firm released some negative information about itself.
D) market index had an exceptionally good month.
Correct Answer:
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