Here are alphas and betas for Est?e Lauder and Caterpillar Tractor for the 60 months ending June
Question:
Here are alphas and betas for Est?e Lauder and Caterpillar Tractor for the 60 months ending June 2017. Alpha is expressed as a percent per month.
Explain how these estimates would be used to calculate an abnormal return.
Transcribed Image Text:
Alpha Beta 0.48 0.70 Estée Lauder -0.41 1.26 Caterpillar Tractor
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Related Book For
Principles of Corporate Finance
ISBN: 978-1260013900
13th edition
Authors: Richard Brealey, Stewart Myers, Franklin Allen
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