Alpha Beta Gamma Market Company return return .5 3 .4 Date 7/12 7/13 7/16 7/17 7/18 7/19 7/20 7/23 7/24 Market Company return return Date -.3 -.5 2/8 .0 .2 2/9 .5 .7 2/10 -.5 -.3 2/11 -2.2 1.1 2/12 -.7 2/15 -1.0 -1.1 2/16 .5 2/17 .2 .1 2/18 Market Company return return Date -.9 -1.1 10/1 -1.0 -1.1 10/2 .4 .2 10/3 .6 .8 | 10/6 -.3 -.1 10/7 1.1 1.2 10/8 .5 .5 10/9 -.3 - 2 10/10 .3 .2 10/13 1.1 .1 -2.2 .6 1.1 -.3 -.3 .5 -.2 Nun w w ..9 -.3 .3 .0 -.1 a. Find the abnormal returns for each firm on each day from announcement such as -4, -3, -2, -1, 0, 1,.... b. Calculate the average abnormal return for each day since the announcement. c. Calculate the CAR for each day since the announcement. d. Graph the results and provide an explanation. (Hint: you can use days since announcement as the X-axis and plot CAR as the y-axis.) Alpha Beta Gamma Market Company return return .5 3 .4 Date 7/12 7/13 7/16 7/17 7/18 7/19 7/20 7/23 7/24 Market Company return return Date -.3 -.5 2/8 .0 .2 2/9 .5 .7 2/10 -.5 -.3 2/11 -2.2 1.1 2/12 -.7 2/15 -1.0 -1.1 2/16 .5 2/17 .2 .1 2/18 Market Company return return Date -.9 -1.1 10/1 -1.0 -1.1 10/2 .4 .2 10/3 .6 .8 | 10/6 -.3 -.1 10/7 1.1 1.2 10/8 .5 .5 10/9 -.3 - 2 10/10 .3 .2 10/13 1.1 .1 -2.2 .6 1.1 -.3 -.3 .5 -.2 Nun w w ..9 -.3 .3 .0 -.1 a. Find the abnormal returns for each firm on each day from announcement such as -4, -3, -2, -1, 0, 1,.... b. Calculate the average abnormal return for each day since the announcement. c. Calculate the CAR for each day since the announcement. d. Graph the results and provide an explanation. (Hint: you can use days since announcement as the X-axis and plot CAR as the y-axis.)