I. Calculate the return of the chosen stock for the two weeks prior to the news, the day of the...

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I. Calculate the return of the chosen stock for the two weeks prior to the news, the day of the news, and the two weeks after the news. Show your work tosupport your response.II. Explain whether the news article had the impact on the stock price that you expected.III. Calculate the percentage change of the CBOE 10 year treasury yield for the two weeks prior to the news, the day of the news, and the two weeks afterthe news. Show your work to support your response.IV. Explain how the actual impact of the news on the bond yield aligned with your initial expectation after reading the news article.

Sumit · Accepted Answer

1. 
The stock that I have chosen for this assignment is The Coca-Cola Company. The Ticker Symbol of the company is KO. The News article that I have chosen for the company is “Coca-Cola Stock Falls 12%”. The date of the news article is 16th March, 2020. The Period under consideration for which I have calculated the return is as under:
	Date of News 
	16-03-2020
	Period 15 days Before
	01/03/2020 till 15/03/2020
	Period 15 days After
	17/03/2020 till 31/03/2020
The return of the stock under the above periods are as under:
	Particulars
	Return %
	Return 15 days Before
	-10.12%
	Return 15 days After
	-1.92%
	Return on date of News
	-2.10%
(Note: The detailed calculations are made in the Excel file)
As we can see from the above calculations that the return for the period 15 days before was -10.12%. The return for the date of news is -2.10%. The return for the period of 15 days after was -1.92%.

I. Calculate the return of the chosen stock for the two weeks prior to the news, the day of the news, and the two weeks after the news. Show your work tosupport your response.II. Explain whether the...

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