What is the abnormal change in ford''s stock price

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An index model regression applied to past monthly returns in Ford's stock price produces the following estimates, which are believed to be stable over time:

 
                 rF = 0.1% + 1.1rM
 

If the market index subsequently rises by 9.4% and Ford's stock price rises by 8%, what is the abnormal change in Ford's stock price?

Reference no: EM13895918

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