Price/Book Value Ratio Return on Equity Growth%

1.442 12.935 6.526

8.352 11.772 135.709

2.084 12.328 0.163

6.568 25.209 14.151

1.233 8.706 22.706

3.299 38.013 19.147

2.398 25.652 24.615

5.263 19.736 11.604

2.452 22.717 49.935

7.697 69.651 36.691

0.535 3.705 41.094

2.463 9.267 28.831

7.575 29.205 52.085

5.208 17.812 25.216

2.135 29.232 23.877

4.835 31.494 9.581

2.118 14.686 18.566

4.038 11.954 39.086

1.834 14.279 39.468

1.585 14.032 27.167

2.009 14.987 13.121

5.051 20.644 17.193

2.333 14.906 15.854

2.062 5.636 16.791

2.877 11.167 8.331

1.749 16.242 18.241

5.471 23.952 16.686

4.744 14.795 46.581

2.638 6.137 34.035

1.614 19.091 8.533

8.366 38.877 14.987

2.186 15.259 25.237

2.805 19.672 0.348

7.415 18.373 3.249

3.242 20.723 9.559

2.705 34.774 7.095

2.557 15.456 9.505

1.238 10.396 4.695

3.059 23.663 4.054

10.279 91.505 13.412

2.096 1.496 15.846

1.692 9.471 5.649

2.077 19.531 -0.059

7.073 5.008 102.695

1.368 42.747 1.568

5.709 90.826 74.026

6.446 19.493 8.964

2.528 27.218 34.595

3.501 13.033 12.191

7.027 24.645 11.477

13.685 81.937 24.472

4.037 1.531 20.098

7.265 3.695 22.366

6.084 31.518 49.929

0.995 4.977 13.163

9.365 47.829 61.223

1.239 13.372 10.825

1.053 35.964 9.144

3.904 28.714 71.031

3.521 18.171 51.859

2.133 13.928 17.022

10.092 133.056 171.242

4.172 21.925 8.484

8.443 11.274 247.831

2.131 17.284 10.769

4.017 19.474 6.336

2.334 8.544 24.588

2.954 18.671 14.332

4.547 21.706 5.871

4.958 49.478 31.373

2.194 19.362 3.902

A financial analyst engaged in business valuation obtained financial data on 71 drug companies. Let Y correspond to the price-to-book value ratio, X, correspond to the return on equity, and X2 correspond to the growth percentage. Use the accompanying data to complete parts a. through e. below. Click the icon to view the business valuation data. a. Develop a regression model to predict price-to-book-value ratio based on return on equity. (Round to four decimal places as needed.)