Murtaza wants to verify that the monthly returns of the fund that he manages has a standard deviation equal to 25% based on estimates collected between 2000 and 2019 over 19 years. To verify this, Murtaza collected monthly returns for an eleven-month period between 2019 and 2020 and measured a standard deviation of monthly returns of 26.8% Murtaza calculates a test statistic of 4.28. Using a 10% significance level, determine if the more recent standard deviation is ditferent from the standard deviation of the 2000-2019 period. Which of the following assertions is MOST CORRECT: O The two critical values are 939 and 28.869 and vou reject the mul bypothesis O The two critical values ane194 and 18307 and you tail to reject the null hypothesis The two critical values are 3.247and 20483 and you fail to reject the null hypothesis The null hypothesis is that the varlance popukation is equal to 25% O The two critical values are 4.865 and 15.987 and you eject the nul fypothesis

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Murtaza wants to verify that the monthly returns of the fund that he manages has a
standard deviation equal to 25% based on estimates collected between 2000 and 2019
over 19 years To verify this, Murtaza collected monthly returns for an eleven-month
period between 2019 and 2020 and measured a standard deviation of monthly returns of
26.8%. Murtaza calculates a test statistic of 4.28. Using a 10% significance level,
determine if the more recent standard deviation is ditfferent from the standard deviation of
the 2000-2019 period.
Which of the following assertions is MOST CORRECT:
O The two critical values are 939 and 28.869 and you reect the ml bypothesis
The two critical values an 194 and 18307 and you tail to reject the null bypothesis
The two critical values are 3247 and 20 483 and you fail to reject the null hypothesis.
The null hypothesis is that the varlance population is equal to 25X
O The two-critical values are 4865 and 15.987 and you reject the null fypothesis
Transcribed Image Text:Murtaza wants to verify that the monthly returns of the fund that he manages has a standard deviation equal to 25% based on estimates collected between 2000 and 2019 over 19 years To verify this, Murtaza collected monthly returns for an eleven-month period between 2019 and 2020 and measured a standard deviation of monthly returns of 26.8%. Murtaza calculates a test statistic of 4.28. Using a 10% significance level, determine if the more recent standard deviation is ditfferent from the standard deviation of the 2000-2019 period. Which of the following assertions is MOST CORRECT: O The two critical values are 939 and 28.869 and you reect the ml bypothesis The two critical values an 194 and 18307 and you tail to reject the null bypothesis The two critical values are 3247 and 20 483 and you fail to reject the null hypothesis. The null hypothesis is that the varlance population is equal to 25X O The two-critical values are 4865 and 15.987 and you reject the null fypothesis
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