The following text is an excerpt from Fama and French (1993) on how the Book-to- Market and Size factors are calculated: In June of each year t we sort...stocks by size and independently) by book-to- market equity. For the size sort, ME is measured at the end of June. For the book- to-market sort, ME is market equity at the end of December oft - 1 and BE is book common equity for the fiscal year ending in calendar year t - 1. We...calculate value-weighted monthly returns on the portfolios from July of t to June of t + 1. Answer the following questions using the data given in the appendix. a. If we are going to use the returns of July 2006, from which month-year should you choose data to calculate the book-to-market sort? From which month-year should you choose data to calculate the size sort? b. Calculate the actual sorts. Please format your answer in the following way: Large ME High B/M Firm: ME: B/M: Firm: ME: BM: Mid B/M Firm: ME: B/M: Firm: ME: B/M: Low BM Firm: ME: B/M: Firm: ME: B/M: Small ME c. Calculate the two Fama-French factors based on your sorts. The following text is an excerpt from Fama and French (1993) on how the Book-to- Market and Size factors are calculated: In June of each year t we sort...stocks by size and independently) by book-to- market equity. For the size sort, ME is measured at the end of June. For the book- to-market sort, ME is market equity at the end of December oft - 1 and BE is book common equity for the fiscal year ending in calendar year t - 1. We...calculate value-weighted monthly returns on the portfolios from July of t to June of t + 1. Answer the following questions using the data given in the appendix. a. If we are going to use the returns of July 2006, from which month-year should you choose data to calculate the book-to-market sort? From which month-year should you choose data to calculate the size sort? b. Calculate the actual sorts. Please format your answer in the following way: Large ME High B/M Firm: ME: B/M: Firm: ME: BM: Mid B/M Firm: ME: B/M: Firm: ME: B/M: Low BM Firm: ME: B/M: Firm: ME: B/M: Small ME c. Calculate the two Fama-French factors based on your sorts