What is the maximum daily loss for the new stock

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Assume that New Co. has a beta of 1.31. If you assume that the stock market has a maximum expected loss of -3.2 percent on a daily basis (based on a 95 percent confidence level),

A. What is the maximum daily loss for the New Co. stock?

B. If you have $19,000 invested in New Co. stock, what is your maxinm daily dollar loss?

Reference no: EM131618195

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