Question

Delta, United, and American Airlines announced purchases of planes on July 18 (7/18), February 12 (2/12), and October 7 (10/7), respectively.

  

Delta			United			American
Date	Market Return	Company Return	Date	Market Return	Company Return	Date	Market Return	Company Return
7/12	−.42	−.63	2/8	−.91	−1.22	10/1	.62	.40
7/13	.00	.32	2/9	−1.01	−1.22	10/2	.52	.69
7/16	1.26	1.46	2/10	.52	.32	10/3	1.22	1.22
7/17	−1.26	−1.08	2/11	.72	3.34	10/6	.22	−2.58
7/18	−2.21	1.11	2/12	−.42	−.19	10/7	−2.32	−.45
7/19	−.85	−.70	2/15	1.22	2.78	10/8	.62	.62
7/20	−.91	−1.14	2/16	.62	.62	10/9	−.42	−.19
7/23	.73	.53	2/17	−.42	−.22	10/10	.42	−.25
7/24	.22	.01	2/18	.42	.30	10/13	.00	−.22

   

Given the above information, calculate the cumulative abnormal return (CAR) for these stocks as a group. (A negative answer should be indicated by a minus sign. Leave no cells blank - be certain to enter "0" wherever required. Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.)

  

	Abnormal returns (Ri – R­M)
Days from announcement	Delta	United	American	Sum	Average abnormal return	Cumulative abnormal return
−4
−3
−2
−1
0
1
2
3
4

My previous question was not answered

Answer 1