Firm Return 1 4.5 -4.5 2 : 30 16.2 PE PS 14.36 2.41 11.04 0.77 Click here for the Excel Data File Predicted Return = 13.97 1.94 a-1. Estimate: Return = Bo + B1PE + BPS + . (Negative values should be indicated by a minus sign. Round your answers to 2 decimal places.) Yes O No a-2. Are the signs on the coefficients as expected? + b. Interpret the slope coefficient of the PS ratio. 2 < Prev ANGARA K PE + O As the PS ratio increases by 1 unit, the predicted return of the firm increases by 3.27%, holding PE constant. 26 of 30 As the PS ratio increases by 1 unit, the predicted return of the firm decreases by 3.27%, holding PE constant. PS O As the PS ratio increases by 1 unit, the predicted return of the firm decreases by 33.24%, holding PE constant. O As the PS ratio decreases by 1 unit the predicted return of the firm decreases by 33.24% Next > ANARIAR MacBook Pro