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In the excel file, I have provided the information on the historical excess return on the market index and risk-free rate. I've also provided the historical excess return data for three securities. Given these information, you have to answer the questions in each worksheet. Questions 1, 2 and 3 are about CAPM and you have to complete the table. Worksheets Q1, Q2, and Q3 correspond to security 1, 2, and 3. Please copy and show your regression output in the corresponding worksheet. For question 4 (in worksheet Q4), you have to justify the level of idiosyncratic risk associated with each of these three securities (a lot, a little, or some). Please use excel to answer the questions and upload the excel file. Answer each question in its corresponding worksheet.

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Martinez See Help Page Layout Share Comment Miros.m Eric 3 Mwiguda Cola *% od Calculation Check Coll Fire & inevitory Vike F co 1 XOR ON LE #M - so Janw. Martinez Share Comment wwwv3 H Percom mm Erne 3 Mwiguda Cola Fire & u R P & 19 Xa SNHNUN SS3SONUNA 5625 299eeeee OF 26 - CE So Janw. Martinez Share Comment wwwv3 H Percom mm Erne 3 Mwiguda Cola *% Condom! Fire & T 68 MOMO & 65 82 NE ON OPRANNOM & SONS & DO&GNE 888 Q3 | 98104 AUDSEPP H Taku Home Esemi-2 Part 2 - Such Jane Martine File Hario Here DW Page Layout Formule DATA Rovi View Delops Add- Help Sharp Comments - - 11 - AA Ennosum = = We Thai Gel Bad Good Y O Pes Cory- X Cut lupy Sormet inter Cipherd Normal Cardinal Format Neutral Formidling Table Pk A wyce BU, ==== = $ 8 Calculation Check Cell ELL Muigw & Chile Insert Celente Farma Sort Find & Fit Select Survival Rent Aiman hurch Styler CALE Calls Fairing NEK Santry 220 X v fi B F G . H K L L M N 0 P U U W Avcrage Return (in) Average Excess Return in CAMP made CAPM alpha in CAPM market beta R-squared of regression 9 10 11 12 12 14 15 16 17 19 19 20 21 22 23 24 25 20 27 20 29 30 31 32 33 34 35 36 37 38 39 40 41 42 44 Q1 Q2 Q3 04 TOTA & Securities into, 1905.2014 Rady Wywrigna 70'F Mostly any O G x 9:13 PM 3/27/2022 AutoC DPH Taku Home Esemi-2 Part 2 - Such Jane Martine File Ho DW Formule DATA Rovi View Delops Add- Help Sharp Comments - 11-AA - Ennosum = = = We Thai Gel Bad Good Y O X Cut le Copy Pte Sormet inter Cipherd Normal Cardinal Format Neutral Formidling Table Pk Awyce === BIU $ 8 Calculation Muigw & Chile Check Cell ELL C Insert Celente Farma Sort Find & Fit Select Rent rrr - Ninh Hurete Styler Calls Fairing ng Gary 145 X f D E F H K LM N O P O R S T U V w X Y Average Return (in) Average Excess Return in CAMPM Intel CAPM Alphalin CAPM market bota Raquared of regression 9 10 12 12 14 15 16 17 19 19 20 21 22 23 24 25 20 27 20 29 30 31 32 33 34 35 36 37 38 39 40 41 42 13 44 Q2 Q3 04 TOTA Securities into, 1995-2014 Q1 Rady Natywy 70'F Mostly any O x 9:13 PM 1/27/2022 AutoC DPH Taku Home Esemi-2 Part 2 - Jane Martine File Hario Here DW Formule DATA Rovi View Delops Add- Help Sharp Comments - - 11 - AA Ennosum = = = We Thai G. Bad Good Y O X Cut Le copy Pte Formater Cipherd Normal Cardinal Format Neutral Formidling Table Pk Awyce ==== BUH [11 = 8 Calculation Check Cell ELL C Insert Celente Farma Sort Find & Fit Select Rent Sigma Ninh Styler Calls Fairing ng Gary G12 X f D E G H K LM N O P O R S T U V w X Y Average Return (in) Average Excess Return iin CAMPM ir CAPM Alphalin CAPM market bota Rsquared af regression 9 10 11 12 12 14 15 16 17 19 19 20 21 22 23 24 25 20 27 20 29 30 31 32 33 34 35 36 37 38 39 40 41 42 44 Q1 Q2 23 04 TOTA & Securities into, 1995-2014 Rady Wywrigna 70'F Mostly any O x 9:13 PM 1/27/2022

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