STAT TECH IN BUSINESS & ECON AC
18th Edition
ISBN: 9781264731657
Author: Lind
Publisher: MCG
expand_more
expand_more
format_list_bulleted
Question
Chapter 6, Problem 68CE
(a)
To determine
To find: The
(b)
To determine
To find: The probability that the market would be up 29 or more years and the mean number of years that the market is “up”.
(c)
To determine
To write: The conclusion regarding the “January theory.
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solutionStudents have asked these similar questions
Many investors and financial analysts believe the Dow Jones Industrial Average (DJIA) gives a good
barometer of the overall stock market. On January 31, 2006, 9 of the 30 stocks making up the DJIA
increased in price (The Wall Street Journal, February 1, 2006). On the basis of this fact, a financial
analyst says that maybe we can assume that 30% of the stocks traded on the New York Stock
Exchange (NYSE) went up the same day. You have decided to do your own test.
A sample of 78 stocks traded on the NYSE that day showed that 15 went up.
You are going to complete your test to see if the proportion
stocks that went up is significantly
less than 0.3.
You use a significance level of a =
0.001.
What is the test statistic for this sample? (This is called the Z-Stat in your StatCrunch output. Report
answer accurate to three decimal places.)
test statistic =
What is the p-value for this sample? (Report answer accurate to four decimal places.)
p-value =
3. Juwan and his friend Jamie are watching their favorite tech penny stocks in the stock market. The initial value of Jamie's stock was $4.00, while Juwan's stock's initial value was $0.00. Because of some incredible turns in the
market this morning, the stocks are now increasing in value. Every time Juwan's stock rises by $4.00, Jamie's stock increases by $3.00. If these stock gains remain constant throughout the day, perform the following:
a. Convert this scenario into two linear equations; show both the standard form and the slope-intercept form for both equations.
b. Explain how you decided to label the axes.
c. What are the realistic bounds for the domain and range of today's stock gains? Explain your answer.
If an investment company started in business with $1 million of capital on January 1 and, because of mismanagement, lost and average of $873 every day for a year, what would be its financial situation on the last day of the year?
Chapter 6 Solutions
STAT TECH IN BUSINESS & ECON AC
Ch. 6 - The possible outcomes of an experiment involving...Ch. 6 - The Pizza Palace offers three sizes of cola. The...Ch. 6 - FILE Compute the mean and variance of the...Ch. 6 - FILE Compute the mean and variance of the...Ch. 6 - FILE Compute the mean and variance of the...Ch. 6 - Which of these variables are discrete and which...Ch. 6 - FILE The information below is the number of daily...Ch. 6 - FILE The director of admissions at Kinzua...Ch. 6 - Prob. 7ECh. 6 - Prob. 8E
Ch. 6 - Ninety-five percent of the employees at the J. M....Ch. 6 - In a binomial situation, n = 4 and = .25....Ch. 6 - Prob. 10ECh. 6 - Prob. 11ECh. 6 - Assume a binomial distribution where n = 5 and =...Ch. 6 - An American Society of Investors survey found 30%...Ch. 6 - Prob. 14ECh. 6 - Prob. 15ECh. 6 - FILE A telemarketer makes six phone calls per hour...Ch. 6 - Prob. 17ECh. 6 - Prob. 18ECh. 6 - Prob. 4SRCh. 6 - Prob. 19ECh. 6 - In a binomial distribution, n = 12 and = .60....Ch. 6 - FILE In a recent study, 90% of the homes in the...Ch. 6 - FILE A manufacturer of window frames knows from...Ch. 6 - Prob. 23ECh. 6 - Prob. 24ECh. 6 - Prob. 5SRCh. 6 - Prob. 25ECh. 6 - A population consists of 15 items, 10 of which are...Ch. 6 - Prob. 27ECh. 6 - Prob. 28ECh. 6 - Prob. 29ECh. 6 - Prob. 30ECh. 6 - Prob. 6SRCh. 6 - Prob. 31ECh. 6 - Prob. 32ECh. 6 - Prob. 33ECh. 6 - Automobiles arrive at the Elkhart exit of the...Ch. 6 - It is estimated that 0.5% of the callers to the...Ch. 6 - Prob. 36ECh. 6 - Prob. 37CECh. 6 - For each of the following indicate whether the...Ch. 6 - Prob. 39CECh. 6 - Prob. 40CECh. 6 - Prob. 41CECh. 6 - The payouts for the Powerball lottery and their...Ch. 6 - In a recent study, 35% of people surveyed...Ch. 6 - Prob. 44CECh. 6 - An auditor for Health Maintenance Services of...Ch. 6 - Prob. 46CECh. 6 - Prob. 47CECh. 6 - The Bank of Hawaii reports that 7% of its credit...Ch. 6 - Prob. 49CECh. 6 - Prob. 50CECh. 6 - Prob. 51CECh. 6 - Prob. 52CECh. 6 - Prob. 53CECh. 6 - Prob. 54CECh. 6 - Prob. 55CECh. 6 - Prob. 56CECh. 6 - Prob. 57CECh. 6 - Prob. 58CECh. 6 - Prob. 59CECh. 6 - Prob. 60CECh. 6 - Prob. 61CECh. 6 - Prob. 62CECh. 6 - Prob. 63CECh. 6 - Prob. 64CECh. 6 - The National Aeronautics and Space Administration...Ch. 6 - Prob. 66CECh. 6 - Prob. 67CECh. 6 - Prob. 68CECh. 6 - Prob. 69CECh. 6 - Prob. 70DACh. 6 - Prob. 71DA
Knowledge Booster
Similar questions
- If you shop on a regular basis in supermarket you will notice that prices may vary from one week to another. Why is it so?arrow_forwardIn many business applications, forecasts for future values of time series, such as sales and earnings, are made exclusively on the basis of past information on the time series in question. What features of time-series behavior are exploited in the production of such forecasts?arrow_forwardThe following is true about descriptive analysis except: Descriptive analysis describes what have already happened. Both descriptive and prescriptive analysis are used in accounting data analytics. O Prescriptive analysis is more advanced than descriptive analysis. Descriptive analysis describes what will happen in the future.arrow_forward
- Use the given conditions to write an equation for the line in point-slope form and in slope-intercept form. x-intercept = 315 == 15 and y-intercept = 1 Type the point-slope form of the equation of the line. 7 (Use integers or simplified fractions for any numbers in the equation.)arrow_forwardQuestion 3 My friend, Ahmad, is trying to determine which of two opportunities he should invest in (only one of them). His options are Bitcoin and S&P 500. If he invests in Bitcoin, he believes that he has a 10% chance of making 15% profit, a 25% chance of only 8% profit, 15% of losing 10% of his investment capital (-10%), and a 50% chance of no change in his investment capital (0%). IH Ahmad invests in S6PS00, he has a 70% chance for the 8% profit, a 25% chance for no change (0%), 3% chance for losing -10%, and 2% for a 15% profit. Ahmad is indifferent between the following lotteries. 15% o and also indifferent between 15% and If Ahmad wants to invest in what maximizes his expected return on investment, which investment is the best? Please note: x-0.79 and y-0.06. In the box below put the expected utility for the investment he should pick. Write your answer with three decimals.arrow_forwardIn his The New York Times op-ed on January 29. 2018, Paul Krugman wrote: "Like Bitcoins, $100 bills aren't much use for ordinary transactions: Most shops won't accept them. But "Benjamins" are popular with thieves, drug dealers evaders. And while most of us can go years without seeing a $100 bill, there are a lot of those bills out there - more than a trillion dollars' worth, accountin percent of the value of U.S. currency in circulation"[R39] (a) How many Benjamins are there in circulation? (b) Use the data in this exercise to estimate the value of U.S. currency in circulation. (c) Confirm that estimate with a web search. (d) Why is the $100 bill a "Benjamin"?arrow_forward
- An electronics company had sales of $25,000,000 in the year just completed. Sales are expected to decline by 3% per year for the next three years un�l new drugs, now under development, receive regulatory approval. Then sales should grow at 7% per year for the next four years. What are the expected sales for the final year of the seven-year period? [arrow_forwardTeach nis goat! x. Alan Chryst is cultivating Venus flytraps in order to plant them in a newly restored refuge that has the appropriate bog habitat. After considerable study by a consulting company, it was determined that, a successful restoration of this species will require 2500 fly traps to be planted there. The site is still being restored, and it is expected that it will be ready for planting in 5 years. Alan currently has 50 plants, and he loses 2% of his plants every year to a fungus. Alan wants to determine the rate at which he must reproduce these plants. For every plant he has in his possession, how many offspring must Alan produce from that plant to reach his quota in 5 years?arrow_forwardIn the general model for time series forecasting, C, represents the short term trend. True Falsearrow_forward
- If a household has 3 members, and has an annual income of $100,000, predict this household’s monthly spending.arrow_forwardIn a certain city, projections fo the next year indicate there is a 20% chance the electronics jobs will increase by 1200, a 50% chance that they will increase by 500 and a 30% chance they will decrease by 800. Find the expected change in the number of electronics jobs in that city in the next year.arrow_forwardAmazon.com, Inc. (AMZN) is one of the largest Internet retailers in the world. Best Buy, Inc. (BBY) is a leading retailer of consumer electronics and media products in the United States. Amazon and Best Buy compete in similar markets; however, Best Buy sells through both traditional retail stores and the Internet, while Amazon sells only through the Internet. Sales and accounts receivable information for both companies for a recent period follows (in millions): Amazon Best Buy Sales $135,987 $39,528 Accounts receivable: Beginning of year 5,654 1,280 End of year 8,339 1,162 a. Determine the accounts receivable turnover for each company. Round all calculations to one decimal place. Amazon Best Buy Accounts Receivable Turnover fill in the blank 1 fill in the blank 2 b. Determine the number of days’ sales in receivables for each company. Use 365 days and round all calculations to one decimal place. Amazon Best Buy…arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
- MATLAB: An Introduction with ApplicationsStatisticsISBN:9781119256830Author:Amos GilatPublisher:John Wiley & Sons IncProbability and Statistics for Engineering and th...StatisticsISBN:9781305251809Author:Jay L. DevorePublisher:Cengage LearningStatistics for The Behavioral Sciences (MindTap C...StatisticsISBN:9781305504912Author:Frederick J Gravetter, Larry B. WallnauPublisher:Cengage Learning
- Elementary Statistics: Picturing the World (7th E...StatisticsISBN:9780134683416Author:Ron Larson, Betsy FarberPublisher:PEARSONThe Basic Practice of StatisticsStatisticsISBN:9781319042578Author:David S. Moore, William I. Notz, Michael A. FlignerPublisher:W. H. FreemanIntroduction to the Practice of StatisticsStatisticsISBN:9781319013387Author:David S. Moore, George P. McCabe, Bruce A. CraigPublisher:W. H. Freeman
MATLAB: An Introduction with Applications
Statistics
ISBN:9781119256830
Author:Amos Gilat
Publisher:John Wiley & Sons Inc
Probability and Statistics for Engineering and th...
Statistics
ISBN:9781305251809
Author:Jay L. Devore
Publisher:Cengage Learning
Statistics for The Behavioral Sciences (MindTap C...
Statistics
ISBN:9781305504912
Author:Frederick J Gravetter, Larry B. Wallnau
Publisher:Cengage Learning
Elementary Statistics: Picturing the World (7th E...
Statistics
ISBN:9780134683416
Author:Ron Larson, Betsy Farber
Publisher:PEARSON
The Basic Practice of Statistics
Statistics
ISBN:9781319042578
Author:David S. Moore, William I. Notz, Michael A. Fligner
Publisher:W. H. Freeman
Introduction to the Practice of Statistics
Statistics
ISBN:9781319013387
Author:David S. Moore, George P. McCabe, Bruce A. Craig
Publisher:W. H. Freeman