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What the standard deviation of return of stock p is

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Reference no: EM132557996

The index model for stock P has been estimated with the following result:

RP = 0.01 + 0.90RM + eP

Question 1: If σM = 0.30 and R2P = 0.28, the standard deviation of return of stock P is

Select one:

a. 0.2025

b. 0.2500

c. 0.4500

d. 0.5103

e. None of the above.

Reference no: EM132557996

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