Explain in detail what beta coefficient

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In looking for investment information concerning the bakers company common stock, you have read in one source that its beta coefficient for the last 3 years is 1.1 while in another source the beta coefficient is 1.4 for the last 5 years.

A) Explain in detail what beta coefficient is and what the beta coefficient of 1.1 for the last 3 years means.

B) Explain what the beta coefficient of 1.4 for the last five years in conjunction with the beta coefficient of 1.1 for the last three years indicates concerning baker companies stock.

Reference no: EM13724152

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