Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The other letters are here to provide context of the question. A. Collect 61 months of the most recent historical data for your Nike Incs

The other letters are here to provide context of the question.

A. Collect 61 months of the most recent historical data for your Nike Inc’s stock price and market data for the S&P500 total return index (^SP500TR) from Yahoo Finance. Use the historic data tab and collect monthly data. Import or copy and paste information into Excel.

B. Convert the collected 61 months of adjusted close price data to 60 months of return data for Nike Inc. and the S&P500 total return index.

C. Use an excel spreadsheet to graphically present the data with the S&P500 on the x-axis and Nike Inc. on the y-axis. Each month’s returns should therefore be represented by a single point on the graph. Calculate Nike Inc’s beta using both a trendline technique and a regression. Be sure to show the trendline equation on the graph. Both methods should give you the same beta.

D. Compare your beta results to the beta listed on Yahoo Finance.

Step by Step Solution

3.34 Rating (160 Votes )

There are 3 Steps involved in it

Step: 1

Answers has been calculated in spreadsheet given below formulas used in sheet has been provided in step 2 of the answer A1 B C D E F G H I 2 Date Nike Inc SP 500 Return on SP 500 Return on Nike 3 28No... blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Income Tax Fundamentals 2013

Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill

31st Edition

1111972516, 978-1285586618, 1285586611, 978-1285613109, 978-1111972516

More Books

Students also viewed these Accounting questions