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A regression of a stock's return (in per...

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题目

A regression of a stock's return (in percent) on an industry index's return (in percent) provides the following results:「huixue_img/importSubject/1564169388368728064.jpeg」Which of the following statements regarding the regression is incorrect?

选项

A.The correlation coefficient between the X and Y variables is 0.889.

B.The industry index coefficient is significant at the 99% confidence interval.

C.If the return on the industry index is 4%, the stock's expected return is 9.7%.

D.The variability of industry returns explains 21% of the variation of company returns.

答案

D

解析

「huixue_img/importSubject/1564169388414865408.png」