The stock market data given by the following table. R (%) Telmex Mexico World Correlation coefficients Telmex Mexico Wor
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The stock market data given by the following table. R (%) Telmex Mexico World Correlation coefficients Telmex Mexico Wor
The stock market data given by the following table. R (%) Telmex Mexico World Correlation coefficients Telmex Mexico World 1.00 0.75 0.50 1.00 0.60 1.00 SD(%) 20 12 8 ? 14 12 The above table provides the correlations among Telmex, a telephone/communication company located in Mexico, the Mexico stock market index, and the world market index, together with the standard deviations (SD) of returns and the expected returns ( R ). The risk-free rate is 7%. Compute the domestic country beta of Telmex as well as its world beta. (Do not round intermediate calculations. Round your answers to 2 decimal places.) Answer is complete but not entirely correct. Domestic beta 1.08 x World beta 1.08 X
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