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This figure shows the monthly returns of Acme Co. plotted against the monthly returns of the S&P 500. A trend line with its equation is
This figure shows the monthly returns of Acme Co. plotted against the monthly returns of the S&P 500. A trend line with its equation is also included on the chart. Given this information, if the S&P 500 increased by 2.5%, how much would we expect Acme Co.'s stock to increase? Acme Co. 100% 50% y = 1.8986x -0.1293 Stock Returns for Acme Co. -0% -40% -20% 20% 40% -50% -100% S&P 500 Returns
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