Loose Leaf for Statistical Techniques in Business and Economics
Loose Leaf for Statistical Techniques in Business and Economics
17th Edition
ISBN: 9781260152647
Author: Douglas A. Lind
Publisher: McGraw-Hill Education
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Chapter 17, Problem 54CE

a.

To determine

Find the purchasing power of the dollar in 2016 using 1982–84 as the base period.

b.

To determine

Find the real monthly income in 2016.

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c. Predict sales in 15 years.
Go to Yahoo!Finance and download data at the MONTHLY frequency for the stock Apple Inc. with ticker AAPL with starting date January 1, 1990 and end date August 4, 2016. Use the ADJUSTED CLOSING PRICE to create the monthly RETURNS that are the percentage change of the adjusted closing price (NB: make sure to sort first the price from OLDEST TO NEWEST; the percentage return is 100 times the price change between the current and previous month divided by the price in the previous month). Based on the time series of the stock return, answer the following questions (NB: you should have 319 monthly returns): Calculate the sample mean or average of the stock return: Calculate the sample standard deviation of the stock return: !!! For the questions below, use the values for the mean and std. dev. that you typed above (only the first 2 decimals)!!! Assuming that the returns follow a normal distribution: Calculate the P(return > 2.21): Calculate the P(-12.37 x) = 0.9704: Calculate the lower…
c. What is the percentage change in the airfare for the one-year period?
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