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1 vote
o calculate the beta of another company, using regression analysis, you get the value of R² as 0.91. Based on your calculation, which of the following interpretations is true? The percentage of variance in the company’s stock explained by the market is lower than that of a typical stock. The percentage of variance in the company’s stock explained by the market is higher than that of a typical stock.

2 Answers

4 votes

Answer:

The percentage of variance in the company’s stock explained by the market is lower than that of a typical stock.

Step-by-step explanation:

answered
User John Velman
by
8.1k points
7 votes

Answer:

The percentage of variance in the company’s stock explained by the market is lower than that of a typical stock

Step-by-step explanation:

The percentage of variance in the company’s stock explained by the market is lower than that of a typical stock is the true interpretation

answered
User Nickvane
by
8.2k points
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