Suppose a mutual fund qualifies as having moderate risk if the standard deviation of its monthly rate of return is less than 6%. A mutual-fund rating agency randomly selects 23 months and determines the rate of return for a certain fund. The standard deviation of the rate of return is computed to be 4.46%. 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. Click the icon to view the table of critical values of the chi-square distribution. What are the correct hypotheses for this test? The null hypothesis is Ho The alternative hypothesis is H.: Calculate the value of the test statistic. (Round to two decimal places as needed.) Identify the critical value(s) for this test. (Round to two decimal places as needed. Use a comma to separate answers as needed.) What is the correct conclusion at the a=0.10 level of significance? Since the test statistic is than the critical value, the null hypothesis. There sufficient evidence at the a = 0.10 level of significance to conclude that the fund has moderate risk.
Suppose a mutual fund qualifies as having moderate risk if the standard deviation of its monthly rate of return is less than 6%. A mutual-fund rating agency randomly selects 23 months and determines the rate of return for a certain fund. The standard deviation of the rate of return is computed to be 4.46%. 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. Click the icon to view the table of critical values of the chi-square distribution. What are the correct hypotheses for this test? The null hypothesis is Ho The alternative hypothesis is H.: Calculate the value of the test statistic. (Round to two decimal places as needed.) Identify the critical value(s) for this test. (Round to two decimal places as needed. Use a comma to separate answers as needed.) What is the correct conclusion at the a=0.10 level of significance? Since the test statistic is than the critical value, the null hypothesis. There sufficient evidence at the a = 0.10 level of significance to conclude that the fund has moderate risk.
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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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 6%. A mutual-fund rating agency randomly selects 23 months and determines the rate of return for a certain
fund. The standard deviation of the rate of return is computed to be 4.46%. 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.
Click the icon to view the table of critical values of the chi-square distribution.
What are the correct hypotheses for this test?
The null hypothesis is Ho
The alternative hypothesis is H.:
Calculate the value of the test statistic.
(Round to two decimal places as needed.)
Identify the critical value(s) for this test.
(Round to two decimal places as needed. Use a comma to separate answers as needed.)
What is the correct conclusion at the a=0.10 level of significance?
Since the test statistic is
than the critical value,
the null hypothesis. There
sufficient
evidence at the a = 0.10 level of significance to conclude that the fund has moderate risk.
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