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A Suppose you run the market model regression, R: = 4 + B Rn + es, where Ri is the rate of return of stock

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A Suppose you run the market model regression, R: = 4 + B Rn + es, where Ri is the rate of return of stock and Rm is the rate of return of the S&P 500 index return. Below is part of the regression output: SUMMARY OUTPUT Coefficients Standard Error t Stat P-value Intercept 0.028324 0.032635 0.867909 0.410722 X Variable 1 0.8686 0.20345 4.269347 0.002727 If the SP 500 return is 15%. what is the predicted for fitted) rate of return for firm I? 0.158614 0.101966 00631523 0.162925

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