Consider the following table, which gives a security analysts expected returns for two stocks for two particular market returns Expected Returns Widget Thing a ma bob Market Boom 5 1 3 Bust 21 8 20 Given your beta you calculated earlier for Thing a ma bob (data for that answer above), a expected market return of 15 75 , a risk free rate of 3 , what is Thing a ma bob's alpha if its forecasted return is 7 Answer in percentage, round to two decimal points

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Question: Consider the following table, which gives a security analysts expected returns for two stocks for two particular market returns: Expected Returns Widget Thing-a-ma-bob Market Boom

Consider the following table, which gives a security analysts expected returns for two stocks for two particular market returns:

	Expected Returns
	Widget	Thing-a-ma-bob	Market
Boom	5	1	3
Bust	21	8	20

Given your beta you calculated earlier for Thing-a-ma-bob (data for that answer above), a expected market return of 15.75%, a risk free rate of 3%, what is Thing-a-ma-bob's alpha if its forecasted return is 7%? Answer in percentage, round to two decimal points

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