o have gone up or​ down:             Starbucks        Tiffany & Co.  Hershey          McDonald's Beta          0.80                  1.7              0.33                     0.63 (1)​ Starbucks, (2) Tiffany​ & Co.,​ (3) Hershey, and​ (4) McDonald's

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Question

You turn on the news and find out the stock market has gone up 16%. Based on the data in the table​ here, by how much do you expect each of the following stocks to have gone up or​ down:

            Starbucks        Tiffany & Co.  Hershey          McDonald's

Beta          0.80                  1.7              0.33                     0.63

(1)​ Starbucks, (2) Tiffany​ & Co.,​ (3) Hershey, and​ (4) McDonald's.

The expected change in the Starbucks stock is how much %?  (Round to one decimal​ place.)

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