The following data represent the total compensation for 12 randomly selected chief executive officers (CEO) and the company's stock performance in 2013. Based on the analysis from Problem 31 in Section 4.1, what would be the predicted stock return for a company whose CEO made $15 million? What would be the predicted stock return for a company whose CEO made $25 million? (Refer to Problem 31 in Section 4.1.)

Transcribed Image Text:

Compensation (millions of dollars) Stock Company Return (%) Navistar International 14.53 75.43 64.01 Aviv REIT 4.09 7.11 142.07 Groupon 32.72 Inland Real Estate 1.05 Equity Lifestyles Properties 1.97 10.64 Tootsie Roll Industries 3.76 30.66 Catamaran 12.06 0.77 Packaging Corp of America 69.39 7.62 Brunswick 8.47 58.69 LKQ 4.04 55.93 20.87 24.28 Abbott Laboratories 6.63 32.21 TreeHouse Foods