Barron's has collected data about the top 1,000 financial advisers. Company A and Company B have many of their advisers on this list. A sample of 16 of the Company A advisers and 10 of the Company B advisers managed many very large accounts with a large variance in the total amount of funds managed. The standard deviation of the amount managed by the Company A advisers was $581 million. The standard deviation of the amount managed by the Company B advisers was $487 million. Conduct a hypothesis test at $\alpha = 0.10$ to determine if there is a significant difference in the population variances for the amounts managed by advisers from the two firms. What is your conclusion about the variability in the amount of funds managed by advisers from the two firms?State the null and alternative hypotheses:- $ H_0 $: $ \sigma_1^2 \leq \sigma_2^2 $- $ H_1 $: $ \sigma_1^2 > \sigma_2^2 $Find the value of the test statistic. (Round your answer to two decimal places)\[ \text{Find the value of the test statistic: } \]Find the p-value. (Round your answer to four decimal places)\[ \text{p-value = } \]State your conclusion.Options:- Reject $ H_0 $. We can conclude there is a statistically significant difference between the variances for the two companies.- Do not reject $ H_0 $. We cannot conclude there is a statistically significant difference between the variances for the two companies.

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Description: Barron's has collected data about the top 1,000 financial advisers. Company A and Company B have many of their advisers on this list. A sample of 16 of the Company A advisers and 10 of the Company B advisers managed many very large accounts with a l

Here, the claim of the test is that there is a significant difference in the population variances…

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Barron's has collected data on the top 1,000 financial advisers. Company A and Company B have many of thelr advisers the Company B advisers showed that the advisers managed many very large accounts with a large variance in the total a $581 million. The standard deviation of the amount managed by the Com managed by the Company A advisers was s, at a = 0.10 to determine if there is a significant difference in the population variances for the amounts managed by the t the amount of funds managed by advisers from the two firms? %3D

Barron's has collected data on the top 1,000 financial advisers. Company A and Company B have many of thelr advisers the Company B advisers showed that the advisers managed many very large accounts with a large variance in the total a $581 million. The standard deviation of the amount managed by the Com managed by the Company A advisers was s, at a = 0.10 to determine if there is a significant difference in the population variances for the amounts managed by the t the amount of funds managed by advisers from the two firms? %3D

MATLAB: An Introduction with Applications

6th Edition

ISBN:9781119256830

Author:Amos Gilat

Publisher:Amos Gilat

Chapter1: Starting With Matlab

Section: Chapter Questions

Problem 1P

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Barron's has collected data about the top 1,000 financial advisers. Company A and Company B have many of their advisers on this list. A sample of 16 of the Company A advisers and 10 of the Company B advisers managed many very large accounts with a large variance in the total amount of funds managed. The standard deviation of the amount managed by the Company A advisers was $581 million. The standard deviation of the amount managed by the Company B advisers was $487 million. Conduct a hypothesis test at $\alpha = 0.10$ to determine if there is a significant difference in the population variances for the amounts managed by advisers from the two firms. What is your conclusion about the variability in the amount of funds managed by advisers from the two firms?

State the null and alternative hypotheses:

- $ H_0 $: $ \sigma_1^2 \leq \sigma_2^2 $
- $ H_1 $: $ \sigma_1^2 > \sigma_2^2 $

Find the value of the test statistic. (Round your answer to two decimal places)
\[ \text{Find the value of the test statistic: } \]

Find the p-value. (Round your answer to four decimal places)
\[ \text{p-value = } \]

State your conclusion.

Options:
- Reject $ H_0 $. We can conclude there is a statistically significant difference between the variances for the two companies.
- Do not reject $ H_0 $. We cannot conclude there is a statistically significant difference between the variances for the two companies.

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