Question: Please show me how to solve these problems. Thx 19. If the return on Hang Seng index increases by 1%, at 95% confidence level, which
19. If the return on Hang Seng index increases by 1%, at 95% confidence level, which of the following statements about the return on HSBC is true? (a) It will increase by at least 0.92%. (b) It will increase by less than 1.13%, on average. (c) It will be at least 0.92%, on average. (d) It will increase by 1.02%. 20. Which of the following statements is false? (a) We do not reject the hypothesis that Bo=0 at 5% significant level. (b) At 5% significant level, we do not reject the hypothesis that returns on HSBC move on average by the same amount with returns on the Hang Seng index. (e) We do not reject the hypothesis that Bi = 0 at 5% significant level. (d) Returns on HSBC are correlated with the returns on the market 19. If the return on Hang Seng index increases by 1%, at 95% confidence level, which of the following statements about the return on HSBC is true? (a) It will increase by at least 0.92%. (b) It will increase by less than 1.13%, on average. (c) It will be at least 0.92%, on average. (d) It will increase by 1.02%. 20. Which of the following statements is false? (a) We do not reject the hypothesis that Bo=0 at 5% significant level. (b) At 5% significant level, we do not reject the hypothesis that returns on HSBC move on average by the same amount with returns on the Hang Seng index. (e) We do not reject the hypothesis that Bi = 0 at 5% significant level. (d) Returns on HSBC are correlated with the returns on the market
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