Question: 7. Using index model, the regression results for TGL security are: intercept is 0.001, Beta is 1.36. If one of the months' market risk premium
7. Using index model, the regression results for TGL security are: intercept is 0.001, Beta is 1.36. If one of the months' market risk premium was 5% and TGL actual risk premium was 8%, what must have been the TGL residual for that month? A.0.7% B. 1.1% C. 2.0% D. 3.0%
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