An index model regression applied to past monthly excess returns in ABC Corporations stock price produces the

Question:

An index model regression applied to past monthly excess returns in ABC Corporation’s stock price produces the following estimates, which are believed to be stable over time:
RABC = .10% + 1.1RM
If the market index subsequently rises by 8 percent and ABC’s stock price rises by 7 percent, what is the abnormal change in ABC’s stock price? The T- bill return during the month is 1 percent.