Question: Consider the two (excess return) index-model regression results for stocks A and B. The risk free rate over the period was 6%, and the market's
Consider the two (excess return) index-model regression results for stocks A and B. The risk free rate over the period was 6%, and the market's average return was 15%. Performance is measured using an index model regression on excess retums. Required: o. Calculate the following statistics for each stock (Do not round intermediote colculations. Round your onswers to 4 decimal places.) b. Which stock is the best choice under the following circumstances
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