The price of a share of stock divided by the company's estimated future earnings per share is called the P/E ratio. High P/E ratios usually indicate "growth" stocks, or maybe stocks that are simply overpriced. Low P/E ratios indicate "value" stocks or bargain stocks. A random sample of 51 of the largest companies in the United States gave the following P/E ratios†.11351913152140186072920295316262114212710124714331418172019132523275168494420278191231675126191832 (a) Use a calculator with mean and sample standard deviation keys to find the sample mean x and sample standard deviation s. (Round your answers to four decimal places.) x = s = (b) Find a 90% confidence interval for the P/E population mean ? of all large U.S. companies. (Round your answers to one decimal place.) lower limit upper limit (c) Find a 99% confidence interval for the P/E population mean ? of all large U.S. companies. (Round your answers to one decimal place.) lower limit upper limit

Answered: The price of a share of stock divided…

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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The price of a share of stock divided by the company's estimated future earnings per share is called the P/E ratio. High P/E ratios usually indicate "growth" stocks, or maybe stocks that are simply overpriced. Low P/E ratios indicate "value" stocks or bargain stocks. A random sample of 51 of the largest companies in the United States gave the following P/E ratios†.

11	35	19	13	15	21	40	18	60	72	9	20
29	53	16	26	21	14	21	27	10	12	47	14
33	14	18	17	20	19	13	25	23	27	5	16
8	49	44	20	27	8	19	12	31	67	51	26
19	18	32

(a) Use a calculator with mean and sample standard deviation keys to find the sample mean x and sample standard deviation s. (Round your answers to four decimal places.)