Question: Question 30 After conducting a regression analysis, you conclude that the dependent variable (y) return on ABC stock is a function of a y-intercept or

 Question 30 After conducting a regression analysis, you conclude that the

Question 30 After conducting a regression analysis, you conclude that the dependent variable (y) return on ABC stock is a function of a y-intercept or constant (bo) equal to 0.01%, the change in interest rates in the previous quarter (x1), the returns on the s&P 500 (x2), and the change in Gross Domestic Product two quarters ago (x3) such that y 001% 0.10 x 1.2 x2 .05 x3 Assuming that the change in interest rates in the previous quarter was .75%, the returns for the S&P 500 is 2%, and the change in Gross Domestic Product was 5% two quarters ago, what is your estimate of the return on ABC stock? A. 2.715%. B. 2.735% C. 0.339% O D. None of the above Choose the correct option. Test Menu Copyright 2017 SS&C Technologies. All rights rese

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!