Question
Estimate beta of PFE relative to S&P500 using daily price data for one year ended August 7, 2020. Also compute the alpha and R-squared. In
Estimate beta of PFE relative to S&P500 using daily price data for one year ended August 7, 2020.
Also compute the alpha and R-squared. In addition to computing alpha, beta and R-squared, you are expected to plot the observations in an XY Scatter graph (with returns on PFE on the vertical axis and returns on S&P500 on the horizontal axis), choose to Add Trendline, (choose Linear), and also choose to display the equation and RSQ on the graph. You are also expected to make sure that the answers to alpha, beta and R-squared that you computed agree with those that appear in the equation on the graph. Upload the Excel file showing your work.
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