Year 1 2 3 4 5 6 7 X HISTORICAL RATES OF RETURN Stock X NYSE - 26.5% 37.2 23.8 - 7.2 6.6 20.5 30.6 Beta = - 13.0% 17.0 17.5 3.0 7.5 The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the questions below. 17.1 19.3 Open spreadsheet a. Use a spreadsheet (or a calculator with a linear regression function) to determine Stock X's beta coefficient. Do not round intermediate calculations. Round your answer to two decimal places. NYSE b. Determine the arithmetic average rates of return for Stock X and the NYSE over the period given. Calculate the standard deviations of returns for both Stock X and the NYSE. Do not round intermediate calculations. Round your answers to two decimal places. Stock X

Financial Management: Theory & Practice
16th Edition
ISBN:9781337909730
Author:Brigham
Publisher:Brigham
Chapter25: Portfolio Theory And Asset Pricing Models
Section: Chapter Questions
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Nikul 

Year
1
2
3
4
5
6
7
HISTORICAL RATES OF RETURN
Stock X
NYSE
Beta =
- 26.5%
37.2
23.8
- 7.2
6.6
20.5
30.6
- 13.0%
The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the questions
below.
17.0
17.5
3.0
7.5
17.1
19.3
Open spreadsheet
a. Use a spreadsheet (or a calculator with a linear regression function) to determine Stock X's beta coefficient. Do not round intermediate calculations.
Round your answer to two decimal places.
NYSE
b. Determine the arithmetic average rates of return for Stock X and the NYSE over the period given. Calculate the standard deviations of returns for
both Stock X and the NYSE. Do not round intermediate calculations. Round your answers to two decimal places.
Stock X
Transcribed Image Text:Year 1 2 3 4 5 6 7 HISTORICAL RATES OF RETURN Stock X NYSE Beta = - 26.5% 37.2 23.8 - 7.2 6.6 20.5 30.6 - 13.0% The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the questions below. 17.0 17.5 3.0 7.5 17.1 19.3 Open spreadsheet a. Use a spreadsheet (or a calculator with a linear regression function) to determine Stock X's beta coefficient. Do not round intermediate calculations. Round your answer to two decimal places. NYSE b. Determine the arithmetic average rates of return for Stock X and the NYSE over the period given. Calculate the standard deviations of returns for both Stock X and the NYSE. Do not round intermediate calculations. Round your answers to two decimal places. Stock X
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