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You run a regression for a stock's return on a market index and find the following Excel output: Multiple R 0.35 R-Square 0.12 Adjusted R-Square

You run a regression for a stock's return on a market index and find the following Excel output:

Multiple R 0.35
R-Square 0.12
Adjusted R-Square 0.02
Standard Error 38.45
Observations 12

Coefficients Standard Error t-Stat p-Value
Intercept 4.05 15.44 0.26 0.80
Market 1.32 0.97 1.36 0.10

The characteristic line for this stock is Rstock = ___ + ___ Rmarket.

  • .35; .12

  • 4.05; 1.32

  • 15.44; .97

  • .26; 1.36

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