1. Calculate TESCO\u2019s abnormal trading volumes for -5 days to +5 days around its profit warnings (22nd Sep & 9th Dec 2014, and) taking the average trading volumes before the events from -260 days to -10 days.
\n2. For both events, calculate the daily cumulative abnormal returns for TESCO for -5 trading days to +20 days around each profit warning using CAPM, where Beta is calculated using data for -90 to -10 trading days prior to each event.
\n3. Compare 9th December\u2019s profit warning effect on the share price with 22nd September\u2019s profit warning.
\n4. Critically discuss the results that you found and how they are related to current literature on profit warnings. (Hint you should relate your discussion to events that happened within the company i.e. change of CEO, share issue, Accounting scandal, etc\u2026)<\/p>\n","protected":false},"excerpt":{"rendered":"
1. Calculate TESCO\u2019s abnormal trading volumes for -5 days to +5 days around its profit warnings (22nd Sep & 9th Dec 2014, and) taking the average trading volumes before the events from -260 days to -10 days. 2. For both Read More …<\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-94633","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts\/94633","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/comments?post=94633"}],"version-history":[{"count":0,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts\/94633\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/media?parent=94633"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/categories?post=94633"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/tags?post=94633"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}