What is the sign of correlation

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Question - Consider the following stocks, all of which will pay a liquidating dividend in a year and nothing in the interim:

 

Market Capitalization ($ millions)

Expected Liquidating Dividend ($ millions)

Beta

Stock A

800

1000

0.77

Stock B

750

1000

1.46

Stock C

950

1000

1.25

Stock D

900

1000

1.07

Required - What is the sign of correlation between the expected return and market capitalization of the stocks?

Reference no: EM132833261

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