weekly Share prices of 3 companys for the past month.

Share Index	CompanyA	Company B	Company C
1000	10.8	4.7	62
1200	11	4.7	61
1300	11	4.7	61
1200	11.1	4.7	62

Divident for the period

Company A - $.45

Company B - $0.2

Company C - $0.50

The Market Model is: r_it = a_i + b_i (r_mt) + u_it

Where: r_it: is the assets return for period t

r_mt: is the return on the market (All share price index) for period t

a_i and b_i are the intercept and slope values respectively estimated from the regression procedure

u_it: is the error term

1. Define systematic risk (b coefficient) and estimate systematic risk for selected shares.

2. Interpret the estimated b coefficients.

3. Are these company shares volatile?

4. Make comparison and recommendation for investment.

5. Which shares are undervalued, overvalued or fairly valued based on the Capital Assets Pricing Model (CAPM). Explain your answer.