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An analyst performs a regression with monthly returns on a largecap mutual fund as the dependent variable and monthly returns on the market index as
An analyst performs a regression with monthly returns on a largecap mutual fund as the dependent variable and monthly returns on the market index as the independent variable. He uses monthly returns data over the last year (in %).
Regression Statistics | |
Multiple R | 0.7589 |
Rsquared | 0.576 |
Standard error | 3.8921 |
Observations | 12 |
Coefficient | Standard Error | |
Intercept | 0.254 | 1.2984 |
Slope coefficient | 0.782 | 0.215 |
Statistic | Market Index Return | LargeCap Fund Return |
Mean | 2.45% | 1.68% |
Standard deviation | 6.82% | 7.21% |
Count | 12 | 12 |
Given a return on the market index of 8.25%, the 95% prediction interval for the expected mutual fund return is closest to:
Group of answer choices
3.0981% to 15.4931%
32.5850% to 44.98%
25.4295% to 32.64%
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