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Problem 8-9 Suppose that the index model for stocks A and B is estimated from excess returns with the following results: RA = 2.4% +

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Problem 8-9 Suppose that the index model for stocks A and B is estimated from excess returns with the following results: RA = 2.4% + 0.85RM + EA RB -2.4% + 1.3RM + eB OM = 25%; R-square A 0.17; R-squarep = 0.11 = What is the standard deviation of each stock? (Do not round intermediate calculations. Round your answers to 2 decimal places.) Standard Deviation Stock A % Stock B %

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