Q405
An attempt to make correction by adjusting historical beta to make it closer to an average beta is classified as
A.
adjusted stock
B.
adjusted beta
AnswerC.
adjusted coefficient
D.
adjusted risk
Answer: Option B
Solution
Answer: Option B
Solution:
An attempt to make correction by adjusting historical beta to make it closer to an average beta is classified as adjusted beta. The Adjusted Beta is an estimate of a security's future Beta.