Exhibit 61
Use the Information Below for the Following Problem(S)

question 82

Multiple Choice

Exhibit 6.1
Use the Information Below for the Following Problem(S)
$\begin{array}{ccccc}\text { Stock } & \mathbf{R}_{\text {it }} & \mathbf{R}_{\text {mt }} & \mathbf{a}_{\mathbf{i}} & \text { Beta } \\\hline \mathrm{C} & 12 & 10 & 0 & 0.8 \\\mathrm{~F} & 10 & 80 & 0 & 1.1\end{array}$
R_it = return for stock i during period t
R_mt = return for the aggregate market during period t
-Refer to Exhibit 6.1.What is the abnormal rate of return for Stock C when you consider its systematic risk measure (beta) ?

• A) 4.0%
• B) 1.2%
• C) 2.0%
• D) -1.05%
• E) -8.5%

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Definitions:

Responsibilities

Duties or tasks that an individual or entity is expected to perform or oversee.

Lean Manufacturing

A systematic method for waste minimization within a manufacturing system without sacrificing productivity, focusing on value creation for the end customer.

Cost Effectiveness

An evaluation measure that compares the relative costs and outcomes (effects) of different courses of action to determine which offers the best return or results for the resources invested.

Caring Leadership

A leadership approach emphasizing empathy, support, and concern for the well-being of followers.