A researcher wants to investigate CAPM $($Capital Asset Pricing$)$

Model$).$ This example $($CAPM$)$ relates the underlying yield

of a share $($Rjt$-$Rft$)$ with the underlying market performance $($Rmt$-$Rft$).$ The

Empirical investigation concerns the assessment of the following regression:

$($Rjt$-$Rft$)=\backslash$alpha j$+\backslash$beta j$($Rmt$-$Rft$)+$ujt

Rjt is the return of the stock j at time t$,$ Rft is the risk$-$free

yield $($the interest rate on the annual Treasury bill usually, USTB$3$M$)$

$,$ Rmt is the performance of the market $($performance of the market index$),$ ujt is

The disruptive term A and B are the coefficients "Thou shalt not be able to$"$

Assess. The coefficient $\backslash$alpha gives us the excess yield of

share when the market yield is zero $($when RmtRft$=0$ then $($Rjt$-$Rft$)=$aj$)$

Using whole$-$sample estimators, estimate

How much do you expect the excess performance of the stock $($Rjt$-$Rft$)$ to be if

the excess market performance $($Rmt$-$Rft$)$ is: $0\%,1\%,1\mathrm{.}5\%$ and $2\%.$