2. Which of the following makes this a true statement? Ideally, when searching f

Question

2. Which of the following makes this a true statement? Ideally, when searching for a beta for a new line of business A one could find other firms engaged in the proposed new line of business and use their betas as proxies . to estimate the project's risk. B. one would like to find at least three or four pure-play proxies. C two, or even one, proxies might represent a suitable sample if their line of business resembles the . proposed new project closely enough. D. All the answers make this a true statement.

Explanation / Answer

Answer is (D) All the answers make this a true statement

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