What is the correlation coefficient of the returns of the stock and the returns of the market?

Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter2: Risk And Return: Part I
Section: Chapter Questions
Problem 5P
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The covariance of the market's returns with the stock's returns is 0.008. The standard deviation of
the market's returns is 0.08, and the standard deviation of the stock's returns is 0. 11. What is the
correlation coefficient of the returns of the stock and the returns of the market?

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