Question
n this section, well collect data for Microsoft Corporation (MSFT) in order to calculate its historical average returns, and estimate its beta with the market.
n this section, well collect data for Microsoft Corporation (MSFT) in order to calculate its historical average returns, and estimate its beta with the market. To find the data, you can type MSFT into the search bar on Yahoo Finance. This will bring you to the page about Microsofts stock. To get historical prices, click on Historical Data. Well want monthly returns, so you must adjust Frequency to Monthly and then hit Apply. Q2.1 The Close column tells us what the price was at the market close on a particular date. The adjusted close accounts for dividends and stock splits this adjustment will allow us to use the percentage change in the adjusted price as a measure of stock returns. a) What is the adjusted close price on July 31 2021 for MSFT? b) Why is this price different from the close price?
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