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

question 59

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 ABC when you consider its systematic risk measure (beta) ?

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

---

Definitions:

Organizational Change Strategies

Approaches and methods used by organizations to alter their direction, structure, operations, or culture to achieve certain outcomes.

Action Research

A participatory form of research where the researcher and participants collaborate to solve a practical problem and contribute to scientific knowledge.

Planned Change

A deliberate effort to modify processes, strategies, or structures within an organization to improve effectiveness.

Open Systems

A perspective in systems theory where any system continuously interacts with its environment and can adapt and evolve with changes.