Question: Based on the class discussion, do you think the sign of the X coefficient makes sense? Why is this regression result important given Capris pre-announcement

Based on the class discussion, do you think the sign of the X coefficient makes sense? Why is this regression result important given Capris pre-announcement price and the premium paid. Make your explanation intuitive to someone who does not understand regression or much finance.

X coefficient = -0.224709 , Capri's Preaanouncement price 34.54, and the premium paid is 59%

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!