In your Excel file, plot the two series (R-R*)/(1+R*) and E-hat-e against each other in a scatter plot, with E-hat-e on the vertical axis and (R-R*)/(1+R*) on the horizontal axis. There should be appropriate labeling of the two axes, with "E-hat-e" as the label on the vertical axis and "(R-R*)/(1+R*)" on the horizontal axis, and an appropriate title for the figure should be given. On your scatter plot, fit a line through the data points and include an equation for that fitted line on that plot, moving that equation to a location on the plot where it is readable. Copy this figure into your Word document and save your Excel file with the new plot included.

5) Discuss in your Word document what you find in the figure in Step 4 regarding what the equation for the fitted line means and how the figure reflects or not UIP.