The closing stock price for each of two stocks was recorded over a 12-month period. the closing price for the Dow Jones Industrial Average was also recorded over this same time period. These values are shown in the following table: a) Develop a regression model to predict the price of stock 1 based on the Dow Jones industrial Average. b) Develop a regression model to predict the price of stock 2 based on the dow Jones Industrial Average. c) Which of the two stocks is most highly correlated to the Dow Jones Industrial Average over this time period? Month DJIA Stock 1 Stock 2
The closing stock price for each of two stocks was recorded over a 12-month period. the closing price for the Dow Jones Industrial Average was also recorded over this same time period. These values are shown in the following table: a) Develop a regression model to predict the price of stock 1 based on the Dow Jones industrial Average. b) Develop a regression model to predict the price of stock 2 based on the dow Jones Industrial Average. c) Which of the two stocks is most highly correlated to the Dow Jones Industrial Average over this time period? Month DJIA Stock 1 Stock 2
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Author:Amos Gilat
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Chapter1: Starting With Matlab
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Please don't do handwritten and explain every concept , please i will definitely like, if you can't follow please skip...do it by excel with all steps explained or please skip also provide output.

Transcribed Image Text:The closing stock price for each of two stocks was recorded over a 12-month period. the closing price for the Dow Jones Industrial Average was also recorded
over this same time period. These values are shown in the following table:
a) Develop a regression model to predict the price of stock 1 based on the Dow
Jones industrial Average.
b) Develop a regression model to predict the price of stock 2 based on the dow
Jones Industrial Average.
c) Which of the two stocks is most highly correlated to the Dow Jones Industrial
Average over this time period?
Month DJIA Stock 1
11168
1
2
3
4
5
6
7
8
9
10
11
12
13
11150
11679
48.5
11186 44.5
11381 44.7
48.2
12081
49.3
49.3
12222 46.1
12463 46.2
12622 47.7
12269 48.3
12354 47
13063
13326
47.9
47.8
Stock 2
32.4
31.7
31.9
36.6
36.7
38.7
39.5
41.2
43.3
39.4
40.1
42.1
45.2
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