Question: P 5-02 This is complete problem no other information is provided Compute the abnormal rates of return for the following stocks assuming the following systematic

P 5-02

This is complete problem no other information is provided

Compute the abnormal rates of return for the following stocks assuming the following systematic risk measures (betas):

Stock Rit Rmt i
B 11.0 % 4.8 % 0.95
F 9.7 8.2 1.20
T 12.5 5.8 1.20
C 12.3 15.0 0.70
E 15.8 11.3 -0.20

Rit = return for stock i during period t Rmt = return for the aggregate market during period t i = beta for stock i

Use a minus sign to enter negative values, if any. Round your answers to one decimal place.

ARBt: %

ARFt: %

ARTt: %

ARCt: %

AREt: %

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