Here are alphas and betas for Intel and Conagra for the 60 months ending February 2012. Alpha
Question:
Alpha Beta
Intel ................... 0.97 ........... 1.08
ConAgra .............. 0.51 ............ 0.67
Explain how these estimates would be used to calculate an abnormal return.
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The estimates are first substituted in the market model Then t...View the full answer
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Related Book For
Principles of Corporate Finance
ISBN: 978-0078034763
11th edition
Authors: Richard Brealey, Stewart Myers, Franklin Allen
Question Posted:
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