Use the following information to answer the question(s)below.
-Using the average historical excess returns for both Wyatt Oil and the Market portfolio,your estimate of Wyatt Oil's beta is closest to:
A)0.75.
B)0.84.
C)1.00.
D)1.19.

Question

Use the following information to answer the question(s)below. 
-Using the average historical excess returns for both Wyatt Oil and the Market portfolio,your estimate of Wyatt Oil's beta is closest to:
A)0.75. 
B)0.84. 
C)1.00. 
D)1.19.

Quizplus · Accepted Answer

Wyatt Oil's beta is closest to 0.84 because its average historical excess return is 8.4% and the average historical excess return for the Market portfolio is 10%.

Use the Following Information to Answer the Question(s)below