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A security analyst has regressed the monthly returns on Exxon Mobil equity shares over the past five years against those on the Standard & Poor

A security analyst has regressed the monthly returns on Exxon Mobil equity shares over the past five years against those on the Standard & Poors 500 stock index over the same period. The resulting regression equation is rEM =0.07+1.55 rSP. Use this equation to estimate Exxon Mobils equity beta.

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