You have the following forecast about astock's returnProbability50%10%15%15%10%Return-20%-6%8%14%20%(a) Calculate the semi-interquartilerange and (b) the semi-variancebelow the mean. (c) Discuss theconditions under which the abovetwo should be used as measures ofrisk instead of the variance.

Answered: Image /qna-images/answer/58d933f4-6973-4124-8e66-9b7bd6540e8d.jpg

Answered: You have the following forecast about a…

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 data given to the right includes data from 35 candies, and 9 of them are red. The company that makes the candy claims that 34% of its candies are red. Use the sample data to construct a 90% confidence interval estimate of the percentage of red candies. What do you conclude about the claim of 34%? Construct a 90% confidence interval estimate of the population percentage of candies that are red. nothing%<p<nothing% (Type an integer or decimal rounded to one decimal place as needed.) Is the result consistent with the 34% rate that is reported by the candy maker? Yes, because the confidence interval includes 34%. No, because the confidence interval does not include 34%. ..... Weights (g) of a Sample Bag of Candy Red Blue Brown Green Yellow 0.838 0.725 0.935 0.801 0.962 0.789 0.859 0.852 0.754 0.863 0.963 0.815 0.988 0.957 0.921 0.898 0.706 0.942…
If a manager adopted both project A and project B simultaneously, the variance in returns associated with this joint project would be: Project Boom (25%) A B 18.75. 75. 30. 500. $30 -$15 Recession (75%) -$15 $20
Consider the following table: Severe recession Mild recession Normal growth Boom Scenario Mean return Variance Covariance Probability 0.05 0.25 0.40 0.30 % Stock Fund Rate of Return Required: a. Calculate the values of mean return and variance for the stock fund. (Do not round intermediate calculations. Round "Mean return" value to 1 decimal place and "Variance" to 2 decimal places.) -30% -108 158 20% Bond Fund Rate of Return. -98 15% 8% -58 b. Calculate the value of the covariance between the stock and bond funds. (Negative value should be indicated by a minus sign. Do not round intermediate calculations. Round your answer to 2 decimal places.)
A stock analyst wondered whether the mean rate of return of financial, energy and utility stocks differed over the past 5 years. He obtained a simple random sample of eight companies from each of the three sectors and obtained the 5-year rates of return shown in the following table (in percents): Financial Energy Utilities 10.76 12.72 11.88 15.05 13.91 5.86 17.01 6.43 13.46 5.07 11.19 9.90 19.50 18.79 3.95 8.16 20.73 3.44 10.38 9.60 7.11 6.75 17.40 15.70 Source: Morningstar.com Required: (a) State the null and alternative hypothesis. (b) Are the mean rates of return different at the alpha = 0.05 level of significance? Please explain your answer, citing numeric and other evidence in support of your response.
Fill in the blanks. a. Positive correlations between observations of the response variable result in an underestimate of ________. b. Data collected from a designed experiment is generally preferable to data obtained from ________. c. Adata point whose removal has a substantial effect on one or more sample regression coefficients is called an _________.
A statistical program is recommended. A company that sells musical instruments has been in business for five years. During that time, sales of pianos increased from 12 units in the first year to 76 units in the most recent year. The firm's owner wants to develop a forecast of piano sales for the coming year. The quarterly sales data follow. Year Quarter 1 Quarter 2 Quarter 3 Quarter 4 1 2 3 4 5 4 7 11 12 18 2 4 forecast for quarter 2 forecast for quarter 3 forecast for quarter 4 3 9 10 1 4 5 7 13 5 14 16 22 35 Total Yearly Sales 12 29 35 50 76 (a) Use the following dummy variables to develop an estimated regression equation to account for any seasonal and linear trend effects in the data: x₁ = 1 if quarter 1, 0 otherwise; x₂ = 1 if quarter 2, 0 otherwise; and x3 = 1 if quarter 3, 0 otherwise. (Let t = 1 denote the time series value in quarter 1 of year 1; t = 2 denote the time series value in quarter 2 of year 1; ... and t = 20 denote the time series value in quarter 4 of year 5. Round…

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