The following are the daily returns for both the overall market and for Coastal Engineering, Inc. What is the cumulative abnormal return on Coastal Engineering, Inc., stock for this five-day period?
$$\begin{array} { r r r }
\text { Date } & \text { R(m) } & \text { Alpha } \
\text { 4-Aug } & 1.00\%& 1.10\% \
\text { 5-Aug } & - .30\% & .20\% \
\text { 6-Aug } & - .20\% & .30\%\
\text { 7-Aug } & .50 \% & - .30\% \
\text { 9-Aug } & .20\% & - .10\%
\end{array}$$
A)-1.2%
B)-.5%
C)0%
D).2%
E)1.2%

Question

The following are the daily returns for both the overall market and for Coastal Engineering, Inc. What is the cumulative abnormal return on Coastal Engineering, Inc., stock for this five-day period?
$$\begin{array} { r r r } 
\text { Date } & \text { R(m) } & \text { Alpha } \
\text { 4-Aug } & 1.00\%& 1.10\% \
\text { 5-Aug } & - .30\% & .20\% \
\text { 6-Aug } & - .20\% & .30\%\
\text { 7-Aug } & .50 \% & - .30\% \
\text { 9-Aug } & .20\% & - .10\%
\end{array}$$
A)-1.2%
B)-.5%
C)0%
D).2%
E)1.2%

Quizplus · Accepted Answer

The Answer of The following are the daily returns for both the overall market and for Coastal Engineering, Inc. What is the cumulative abnormal return on Coastal Engineering, Inc., stock for this five-day period?
$$\begin{array} { r r r } 
\text { Date } & \text { R(m) } & \text { Alpha } \
\text { 4-Aug } & 1.00\%& 1.10\% \
\text { 5-Aug } & - .30\% & .20\% \
\text { 6-Aug } & - .20\% & .30\%\
\text { 7-Aug } & .50 \% & - .30\% \
\text { 9-Aug } & .20\% & - .10\%
\end{array}$$
A)-1.2%
B)-.5%
C)0%
D).2%
E)1.2%

The Following Are the Daily Returns for Both the Overall