NO.PZ2015120204000013
问题如下：
Based on past research, Hansen selects the following independent variables to predict IPO initial returns:
Underwriter rank = 1–10, where 10 is highest rank
Pre-offer price adjustment (Expressed as a decimal) = (Offer price – Initial filing price)/Initial filing price
Offer size ($ millions) = Shares sold × Offer price
Fraction retained (Expressed as a decimal) = Fraction of total company shares retained by insiders
Hansen’s Regression Results Dependent Variable: IPO Initial Return (Expressed in Decimal Form, i.e., 1% = 0.01)
The upcoming IPO has the following characteristics:
l underwriter rank = 6;
l pre-offer price adjustment = 0.04;
l offer size = $40 million;
l fraction retained = 0.70.
Based on Hansen’s regression, the predicted initial return for the upcoming IPO is closest to:
选项：
A.0.0943.
B.0.1064.
C.0.1541.
解释：
C is correct.
The predicted initial return (IR) is:
IR = 0.0477 + (0.0150 × 6) + (0.435 × 0.04) – (0.0009 × 40) + (0.05 × 0.70) = 0.1541
如上：请问题目中的40m，为什么就用40来算，而不是40000000
