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Question - The return on JXF Ltd.'s shares on a day was 0.8 per cent. The expected return on JXF Ltd.'s share was 0.2 per cent on that day. The return on KYG Ltd.'s shares on a day was 0.5 per cent. The expected return on KYG Ltd.'s share was -0.1 per cent on that day. The return on LYH Ltd.'s shares on a day was 0.1 per cent. The expected return on LZH Ltd.'s share was 0.6 per cent on that day. What the average abnormal daily return for these three companies?
a) 0.233 per cent
b) 0.335 per cent
c) 0.433 per cent
d) -0.310 per cent
e) 0.169 per cent
Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest. How much control does the Fed have over this longer real rate?
Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.
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