see below capm regression coefficients on restaurant stock Please provide which

Question

see below capm regression coefficients on restaurant stock Please provide which stocks are significant at 1% 5% or 10%

stock Alpha P-value Beta p-value WEN -0.00294 0.113752 1.284308313 2.21E-30 BKW -0.00112 0.384343 0.899331964 1.64E-30 MCD -0.00078 0.29947 0.944325533 2.34E-44 CMG -0.00291 0.012892 1.019496957 3.95E-36 PZZA -0.00066 0.473434 0.966901667 3.5E-40 DPZ -0.00047 0.699887 0.980923239 6.71E-34 PZA.TO 0.001771 0.172253 0.843335433 5.65E-29 RRGB -0.00073 0.158839 0.993072821 7.27E-55 DRI 0.000903 0.69821 0.822269939 1.83E-16

Explanation / Answer

Using pvalue interpretation , if pvalue is less than alpha then we say that the stocks are significant.

Here , alpha =0.01 (1%)

No stocks are significant because pvalue is greater than alpha

Alpha=0.05(5%)

Stock CMG is significant because P value is less than alpha

Alpha=0.10

Stock CMG is significant because pvalue is less than alpha

Related Questions

Navigate

• Browse (All)
• Browse S
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.