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4 Problem 8-9 Suppose that the index model for stocks A and B is estimated from excess returns with the following results: 10 points RA
4 Problem 8-9 Suppose that the index model for stocks A and B is estimated from excess returns with the following results: 10 points RA = 3.6% + 1.20RM + eA RB = -1.6% + 1.5RM + eB OM = 16%; R-squarea = 0.25; R-squares = 0.15 eBook What is the standard deviation of each stock? (Do not round intermediate calculations. Round your answers to 2 decimal places.) Print Standard Deviation % Stock A Stock B % References
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