Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Show work in excel please The Excel file Stock Return Data contains monthly data for several stocks and the S&P 500 Index (i.e., the market).
Show work in excel please
- The Excel file Stock Return Data contains monthly data for several stocks and the S&P 500 Index (i.e., the market).
- Compute the equation of the Characteristic Line for Cin.
- Explain what the intercept term in this equation measures relative to the market return.
- Explain what the slope term in this equation measures relative to the market return.
- Conduct a complete hypothesis test to determine if a Significant.
- Conduct a complete hypothesis test to determine if is Significant.
- Compute the R2 value associated with this equation.
- Explain what R2 measures for this equation.
- Construct a graph of the Characteristic Line for Cin.
- On this graph (using EXCELs graphing features) include a trendline, the computed equation, and the R2 value.
- Label the axes and include a title for the graph.
Month | Cin | Dell | INTC | MSFT | NT | S&P 500 |
1 | -0.0715% | -1.3234% | 1.2081% | 0.5269% | 0.0902% | -0.5583% |
2 | 0.0340% | 2.9219% | 0.1580% | 0.5630% | 0.3118% | 0.1083% |
3 | -0.2371% | 1.8305% | 0.3107% | 1.0129% | 0.1718% | 0.2167% |
4 | -0.2541% | 0.9551% | -0.4490% | 0.3949% | -0.3788% | -0.2083% |
5 | 0.4039% | 2.4576% | 1.8457% | 2.1554% | 1.4552% | 0.8167% |
6 | 0.1050% | 1.2289% | -0.2155% | 0.3423% | -0.0376% | -0.0583% |
7 | 0.4847% | -0.5767% | -0.4437% | -1.0417% | -0.1508% | -0.0250% |
8 | -0.6000% | 0.0000% | -2.0824% | -0.6266% | -0.9984% | -0.7500% |
9 | -0.0718% | -2.1310% | -0.0320% | 0.2034% | -0.1745% | -0.4083% |
10 | 0.4252% | 1.7929% | 0.0626% | 0.0990% | 1.0696% | -0.0333% |
11 | 0.1406% | 1.9572% | 0.9950% | 1.1111% | -0.1975% | 0.5333% |
12 | -0.0691% | 3.4138% | 0.2219% | 0.3463% | 0.8089% | 0.2250% |
13 | 0.0721% | 1.8595% | 1.5696% | 2.5331% | -0.1475% | 0.3667% |
14 | 0.3884% | 0.9652% | 0.3643% | 0.4776% | 0.4880% | 0.6000% |
15 | 0.3712% | 1.0741% | -0.1748% | 0.1908% | 0.5675% | 0.2000% |
16 | 0.0285% | -1.4988% | 0.4461% | -0.5594% | 0.9627% | 0.0250% |
17 | 0.0000% | 0.4894% | 1.0997% | 0.9048% | 0.5953% | 0.3583% |
18 | 0.0984% | -0.0840% | -1.3828% | -0.5743% | -0.2222% | -0.3833% |
19 | 0.5205% | 1.4466% | 0.0900% | 0.6576% | 0.7420% | 0.3917% |
20 | 0.0311% | 1.1213% | 0.4431% | 1.3322% | 0.0262% | 0.2000% |
21 | 0.4957% | 0.1937% | -1.2207% | 0.3664% | -0.1306% | -0.1333% |
22 | -0.0001% | -2.1235% | -0.3194% | 0.4566% | 0.5573% | 0.1083% |
23 | 0.6431% | 0.7523% | 1.6261% | 1.1996% | 0.2627% | 0.9500% |
24 | -0.5185% | 2.0326% | 1.8509% | 0.6742% | 0.3241% | -0.1583% |
25 | 0.0281% | 0.7856% | 0.5037% | 0.2252% | 0.2450% | 0.1083% |
26 | -0.2245% | 0.3578% | -1.0826% | -0.3373% | -0.5627% | -0.1667% |
27 | 0.2872% | 0.6884% | -0.2640% | -0.5801% | -0.7892% | 0.2417% |
28 | -0.5385% | 0.1971% | -0.5453% | 0.8125% | -0.3335% | 0.0417% |
29 | 0.0000% | -2.7129% | 1.1664% | -1.1020% | -0.4806% | -0.1250% |
30 | 0.0283% | 0.8139% | -0.2441% | 0.2003% | -0.2092% | -0.1667% |
31 | 0.2825% | 1.1153% | 1.1136% | 0.6711% | -0.5513% | 0.1000% |
32 | -0.1085% | 1.6003% | 0.2218% | 0.8542% | 1.8371% | 0.0333% |
33 | -0.1408% | 0.6408% | 0.4938% | 0.4107% | 0.6183% | 0.2833% |
34 | 0.2147% | 2.5514% | 1.8066% | -0.6935% | 0.2753% | 0.1083% |
35 | 0.2663% | -0.3033% | 1.8915% | 0.1098% | 0.0484% | 0.0583% |
36 | 0.2888% | -2.5449% | 0.7612% | -0.3010% | 0.0963% | 0.1167% |
37 | -0.0809% | -1.3996% | 1.3799% | 0.6944% | -0.2551% | 0.2250% |
38 | 0.5719% | -1.8568% | -0.0654% | -0.4162% | -2.1052% | 0.0250% |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started