10.31 Completing an ANOVA table. How are returns on common stocks in overseas markets related to returns in U.S. markets? Consider measuring U.S. returns by the annual rate of return on the Standard & Poor’s 500 stock index and overseas returns by the annual rate of return on the Morgan Stanley Europe, Australasia, Far East (EAFE) index.¹⁴ Both are recorded in percents. We will regress the EAFE returns on the S&P 500 returns for the years 1989 to 2014. Here is part of the Minitab output for this regression:

The regression equation is

EAFE = −3.19 + 0.813 S&P

Analysis of Variance

Source    DF    SS  MS  F

Regression  1  5552.9

Residual Error

Total        10077.9

Using the ANOVA table format on page 586 as a guide, complete the analysis of variance table.