Exhibit 62
USE THE INFORMATION BELOW FOR THE FOLLOWING PROBLEM(S)

question 13

Multiple Choice

Exhibit 6.2
USE THE INFORMATION BELOW FOR THE FOLLOWING PROBLEM(S) $$\begin{array} { c c c c c } \text { Stock } & \mathbf { R } _ { \text {it } } & \mathbf { R } _ { \text {mt } } & \mathbf { a } _ { \mathbf { i } } & \text { Beta } \\\hline \mathrm { ABC } & 11.5 & 13.0 & 0 & 0.7 \\\mathrm { XYZ } & 9.0 & 7.0 & 0 & 1.1\end{array}$$ R_it = return for stock i during period t
R_mt = return for the aggregate market during period t
-Refer to Exhibit 6.2. What is the abnormal rate of return for Stock XYZ during period t using only the aggregate market return (ignore differential systematic risk) ?

• A)-3.2%
• B)2.4%
• C)2.0%
• D)1.3%
• E)-1.5%

---

Definitions:

Double-Blind Studies

Experimental procedures in which neither the subjects nor the experimenters know which individuals are receiving the treatment versus a placebo, to prevent bias.

Placebo Effect

A beneficial effect, produced by a placebo drug or treatment, that cannot be attributed to the properties of the placebo itself, and must therefore be due to the patient's belief in that treatment.

Gender Bias

A predisposition or preconceived notion that leads to unfair treatment or assessment of people based on their gender.

Male Behavior

Actions, attitudes, or responses that are traditionally or typically associated with men or male roles in a society.