Using the data on this tab, you will estimate a stock's 'beta.' This is a value used
Question:
Using the data on this tab, you will estimate a stock's 'beta.' This is a value used by investors and shows how volatile a stock's price is, relative to the broader market. In columns D and E you will need to calculate the percentage change in the S&P500 and the Stock Price, respectively. The easiest way is to enter '=(B3/B2-1)*100' in cell D2. Copy this formula over to E2, then all the way down (both columns) to row 126 (NOT row 127). What is this stock's beta value and The null hypothesis associated with the t-statistic and p-value for the percentage change in the S&P 500 is that the true coefficient equals 0, vs. the alternative hypothesis that it does not equal zero (making it a two-tailed test). Thus, the t-statistic is calculated as (Coefficient - 0)/Standard Error for the coefficient. Confirm that the t-statistic you see is correct by calculating it using the above formula
Day | S&P500 | Stock Price |
1 | 15300 | $100.00 |
2 | 15438 | $101.50 |
3 | 15867 | $102.50 |
4 | 14984 | $ 97.10 |
5 | 15468 | $ 97.70 |
6 | 15608 | $ 99.50 |
7 | 16218 | $103.10 |
8 | 16386 | $104.40 |
9 | 16949 | $105.20 |
10 | 16805 | $102.50 |
11 | 17037 | $103.70 |
12 | 17154 | $104.40 |
13 | 17143 | $104.20 |
14 | 16528 | $102.70 |
15 | 15631 | $ 97.80 |
16 | 14413 | $ 92.00 |
17 | 15053 | $ 93.60 |
18 | 14585 | $ 92.20 |
19 | 14599 | $ 91.70 |
20 | 14259 | $ 91.90 |
21 | 14805 | $ 95.00 |
22 | 15214 | $ 96.00 |
23 | 15207 | $ 96.10 |
24 | 15048 | $ 98.10 |
25 | 14599 | $ 97.30 |
26 | 15803 | $102.90 |
27 | 15382 | $102.40 |
28 | 14747 | $100.30 |
29 | 16009 | $104.20 |
30 | 16903 | $107.60 |
31 | 16433 | $105.40 |
32 | 15259 | $101.40 |
33 | 15398 | $101.70 |
34 | 16966 | $107.60 |
35 | 16070 | $103.60 |
36 | 16656 | $106.30 |
37 | 15823 | $104.00 |
38 | 17050 | $109.60 |
39 | 15646 | $104.60 |
40 | 16391 | $109.50 |
41 | 15768 | $107.30 |
42 | 15102 | $103.60 |
43 | 14686 | $101.40 |
44 | 16518 | $108.20 |
45 | 16158 | $107.00 |
46 | 15727 | $104.90 |
47 | 13783 | $ 96.60 |
48 | 16219 | $107.70 |
49 | 15598 | $105.60 |
50 | 15939 | $106.30 |
51 | 15811 | $103.20 |
52 | 14742 | $ 99.50 |
53 | 15890 | $102.90 |
54 | 15634 | $101.50 |
55 | 15225 | $101.30 |
56 | 15906 | $102.50 |
57 | 14394 | $ 97.30 |
58 | 14681 | $ 97.80 |
59 | 15293 | $103.00 |
60 | 14971 | $101.20 |
61 | 14576 | $ 99.20 |
62 | 15028 | $100.30 |
63 | 15716 | $102.90 |
64 | 16437 | $108.20 |
65 | 15797 | $104.40 |
66 | 16318 | $106.70 |
67 | 16909 | $110.00 |
68 | 15998 | $106.60 |
69 | 15957 | $107.10 |
70 | 15374 | $105.70 |
71 | 15788 | $106.90 |
72 | 15797 | $107.30 |
73 | 16223 | $109.70 |
74 | 15085 | $105.50 |
75 | 14390 | $104.00 |
76 | 13717 | $100.00 |
77 | 14607 | $105.80 |
78 | 14286 | $105.90 |
79 | 14137 | $107.00 |
80 | 15450 | $113.60 |
81 | 15746 | $116.10 |
82 | 16228 | $117.50 |
83 | 15665 | $115.40 |
84 | 15938 | $116.90 |
85 | 16006 | $118.80 |
86 | 16013 | $118.70 |
87 | 15967 | $117.30 |
88 | 16629 | $121.30 |
89 | 17945 | $127.10 |
90 | 17042 | $123.20 |
91 | 15750 | $116.90 |
92 | 16042 | $117.70 |
93 | 16397 | $118.60 |
94 | 17102 | $122.80 |
95 | 17829 | $127.40 |
96 | 19502 | $135.80 |
97 | 19155 | $136.00 |
98 | 20184 | $141.80 |
99 | 21084 | $145.50 |
100 | 21863 | $148.80 |
101 | 21627 | $150.40 |
102 | 21744 | $150.40 |
103 | 22295 | $150.50 |
104 | 24767 | $161.40 |
105 | 24041 | $160.40 |
106 | 22401 | $153.00 |
107 | 22395 | $150.90 |
108 | 22888 | $154.90 |
109 | 23556 | $157.60 |
110 | 21772 | $152.40 |
111 | 21539 | $150.00 |
112 | 19741 | $141.10 |
113 | 18385 | $134.10 |
114 | 18918 | $136.70 |
115 | 18637 | $134.60 |
116 | 19628 | $136.70 |
117 | 18329 | $128.40 |
118 | 18843 | $131.70 |
119 | 18678 | $130.00 |
120 | 18428 | $130.70 |
121 | 17567 | $129.20 |
122 | 16941 | $126.30 |
123 | 15292 | $119.50 |
124 | 15491 | $119.70 |
125 | 16514 | $124.20 |
126 | 17318 | $130.00 |
College Mathematics For Business Economics, Life Sciences, And Social Sciences
ISBN: 978-0134674148
14th Edition
Authors: Raymond Barnett, Michael Ziegler, Karl Byleen, Christopher Stocker