Start learning →

A correlation coefficient of 1 means the two variables move:

APerfectly together
BEntirely at random
CExactly opposite
DCompletely apart
Answer & Solution
Correct answer: A. Perfectly together
1. The value sits at the positive extreme. 2. Minus one would be the opposite. 3. They move perfectly together. _Source: OpenStax Principles of Finance 2e, Chapter 15, How to Think about Investing._
Practise this question with Quill — Canadian Securities Course (CSC) →

Keep practising Risk and Return

Browse all Risk and Return questions for Canadian Securities Course (CSC), or explore more Investments topics.

Start a Risk and Return lesson →
Related questions
Risk and return bingoType the numberSort the investing wordsDiversifiable or notSlice the investing wordsRun the investing gatesPop the risk wordsCatch the return measures