1. The stock is ______ riskier than the typical stock.

Multiple Choice

• 38%

• 15.44%

• 32%

• 12%

2.This stock has greater systematic risk than a stock with a beta of ___.

Multiple Choice

• .50

• 2

• 1.5

• 3

3._______________ % of the variance is explained by this regression.

Multiple Choice

• 80

• 12

• 35

• 4.05

4.The characteristic line for this stock is R_stock = ___ + ___ R_market.

Multiple Choice

• 4.05; 1.32

• .35; .12

• 15.44; .97

• .26; 1.36

You run a regression for a stock's return on a market index and find the following Excel output: Multiple R R-Square Adjusted R-Square Standard Error Observations 0.35 0.12 0.02 38.45 12 Intercept Market Coefficients 4.05 1.32 Standard Error 15.44 0.97 t-Stat p-Value 0.26 0.80 1.36 0.10