Column (A) in Table on the following page shows the monthly return on the British FTSE 100 index from May 2007 through February 2009. Columns (B) and (C) show returns on the stocks of two firms—Executive Cheese and Paddington Beer. Both firms announced their earnings in February 2009. Calculate the average abnormal return of the two stocks during the month of the earningsannouncement.

Executive Cheese Return Paddingtorn Beer Return Month Market Return May 07 2.7 0.2 -3.8 1.6 -0.8 0.3 1.6 2.3 Jul Aug 0.7 2.6 3.9 4.3 04 8.9 Oct 13 2.1 6.2 2.1 ec Jan 08 0.4 -0.4 Mar 6.8 May Jun Jul ug 4.6 0.3 -12.7 3.2 0.4 -0.6 3.8 7.2 -18.1 6.2 2.3 13.0 -10.7 8.7 Oct ec Jan 09 Feb 4.2 2.7 -0.4 -9.4 3.4 4.7 -6.4