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Q 8-5 RA=3.0%+1.05RM+eARB=1.2%+1.20RM+eBM=29%;R-squareA=0.29;RsquareB=0.14 Break down the variance of each stock to the systematic and firm-specific components. (Do not round intermediate calculations. Calculate using numbers in

Q 8-5

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RA=3.0%+1.05RM+eARB=1.2%+1.20RM+eBM=29%;R-squareA=0.29;RsquareB=0.14 Break down the variance of each stock to the systematic and firm-specific components. (Do not round intermediate calculations. Calculate using numbers in decimal form, not percentages. Round your answers to 4 decimal places.)

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