Q1) Market model relating rate of return of stock XYZ (denoted RXYZ) to rate of return of a broader index of stock market (denoted RM) is reported as: RXYZ = 4.46 + 0.304RM
Coefficient
|
Standard Error
|
|
4.460
|
3.0400
|
|
0.304
|
0.3243
|
|
Analysis of Variance
|
|
|
Source
|
DF
|
Sum of Squares
|
Regression
|
?
|
141.9
|
Residual
|
?
|
3718.9
|
Total
|
24
|
?
|
|
|
|
|
What is coefficient of determination?
a) 0.0368
b) 0.0381
c) 0.8776
d) 0.9618
Calculate F statistic. (Hint: You must complete the table to answer the question.)
a) F=0.0368
b) F=0.0381
c) F=0.8776
d) F=0.9618