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SUMMARY OUTPUT Regression Statistics Multiple R 0.643688576 R Square 0.414334983 Adjusted R Square 0.397109541 Standard Error 0.033861968 Observations 36 ANOVA df F 24.05 Regression Residual

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SUMMARY OUTPUT Regression Statistics Multiple R 0.643688576 R Square 0.414334983 Adjusted R Square 0.397109541 Standard Error 0.033861968 Observations 36 ANOVA df F 24.05 Regression Residual Total 6376 MS 0.0275807 0.001146633 1 34 35 SS 0.027580721 0.038985517 0.066566238 Intercept S&P 500 Coefficients Standard Error -0.001845394 0.006202683 1.047341957 0.213549168 t Stat -0.29751551 4.904453462 P-value 0.767883299 2.28384E-05 Rups = Intercept + Bi (Rs&P 500) + Ei Based on the table above, if Variance of the residuals is 0.001114 and variance of the market returns is 0.000718, what must be the variance of the UPS stock returns? 0.001114 0.001866 0.001832 0.001902 SUMMARY OUTPUT Regression Statistics Multiple R 0.643688576 R Square 0.414334983 Adjusted R Square 0.397109541 Standard Error 0.033861968 Observations 36 ANOVA df F 24.05 Regression Residual Total 6376 MS 0.0275807 0.001146633 1 34 35 SS 0.027580721 0.038985517 0.066566238 Intercept S&P 500 Coefficients Standard Error -0.001845394 0.006202683 1.047341957 0.213549168 t Stat -0.29751551 4.904453462 P-value 0.767883299 2.28384E-05 Rups = Intercept + Bi (Rs&P 500) + Ei Based on the table above, if Variance of the residuals is 0.001114 and variance of the market returns is 0.000718, what must be the variance of the UPS stock returns? 0.001114 0.001866 0.001832 0.001902

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