Q 8-4

RA=2.5%+0.60RM+eA RB=1.5%+0.7RM+eB M=19%;R square A=0.24;R square B=0.18

Suppose that the index model for stocks A and g is estimated from excess returns with the following results 2.5% + -1.5% + .7R + 19%; R-squareA = e. 24; R-squareB = 0.18 What is the standard deviation of each stock? (Do not round intermediate calculations. Round your answers to 2 decimal places.) Standard Deviation 0/0 Stock A Stock B