is naving a rating agency Tan 3.49%. Is there sufficient evidence to conclude that the fund has moderate risk at the a = 0.10 level of significance? A normal probability plot indicates that the monthly rates of return are normally distributed. What are the correct hypotheses for this test? The null hypothesis is Hg: The alternative hypothesis is H,:

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Identify the test statistic for this hypothesis test.

Identify the p-value for this hypothesis test. 

What is the correct conclusion at the a=0.10 level of significance?

Suppose a mutual fund qualifies as having moderate risk if the standard deviation of its monthly rate of return is less than 4%. A mutual-fund rating agency randomly selects 22 months and determines the rate of return for a certain fund. The standard deviation of the rate of return is computed to be
3.49%. Is there sufficient evidence to conclude that the fund has moderate risk at the a = 0.10 level of significance? A normal probability plot indicates that the monthly rates of return are normally distributed.
What are the correct hypotheses for this test?
The null hypothesis is Ho:
The alternative hypothesis is H,:
Transcribed Image Text:Suppose a mutual fund qualifies as having moderate risk if the standard deviation of its monthly rate of return is less than 4%. A mutual-fund rating agency randomly selects 22 months and determines the rate of return for a certain fund. The standard deviation of the rate of return is computed to be 3.49%. Is there sufficient evidence to conclude that the fund has moderate risk at the a = 0.10 level of significance? A normal probability plot indicates that the monthly rates of return are normally distributed. What are the correct hypotheses for this test? The null hypothesis is Ho: The alternative hypothesis is H,:
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