Hours of Television Viewing The number of hours per week of television viewing for random samples of fifth-grade boys and fifth-grade girls were obtained. Each student logged his or her hours for one Monday-through-Friday period. Assume that the students were independent; for example, there were no pairs of siblings who watched the same shows. The data are available at the text’s website. Using graphical and numerical summaries, write a brief description of how the hours differed for the boys and girls. Then carry out a hypothesis test to determine whether the mean hours of television viewing are different for boys and girls. Evaluate whether the conditions for a t -test are met, and state any assumptions you must make in order to carry out a t -test .
Hours of Television Viewing The number of hours per week of television viewing for random samples of fifth-grade boys and fifth-grade girls were obtained. Each student logged his or her hours for one Monday-through-Friday period. Assume that the students were independent; for example, there were no pairs of siblings who watched the same shows. The data are available at the text’s website. Using graphical and numerical summaries, write a brief description of how the hours differed for the boys and girls. Then carry out a hypothesis test to determine whether the mean hours of television viewing are different for boys and girls. Evaluate whether the conditions for a t -test are met, and state any assumptions you must make in order to carry out a t -test .
Hours of Television Viewing The number of hours per week of television viewing for random samples of fifth-grade boys and fifth-grade girls were obtained. Each student logged his or her hours for one Monday-through-Friday period. Assume that the students were independent; for example, there were no pairs of siblings who watched the same shows. The data are available at the text’s website.
Using graphical and numerical summaries, write a brief description of how the hours differed for the boys and girls. Then carry out a hypothesis test to determine whether the mean hours of television viewing are different for boys and girls. Evaluate whether the conditions for a
t
-test
are met, and state any assumptions you must make in order to carry out a
t
-test
.
Statistics that help describe, summarize, and present information extracted from data. Descriptive statistics include concepts related to measures of central tendency, measures of variability, measures of frequency, shape of distribution, and some data visualization techniques/tools such as pivot tables, charts, and graphs.
Problem 1.We consider a two-period binomial model with the following properties: each period lastsone (1) year and the current stock price is S0 = 4. On each period, the stock price doubleswhen it moves up and is reduced by half when it moves down. The annual interest rateon the money market is 25%.
We consider four options on this market: A European call option with maturity T = 2 years and strike price K = 5; A European put option with maturity T = 2 years and strike price K = 5; An American call option with maturity T = 2 years and strike price K = 5; An American put option with maturity T = 2 years and strike price K = 5.(a) Find the price at time 0 of both European options.(b) Find the price at time 0 of both American options. Compare your results with (a)and comment.(c) For each of the American options, describe the optimal exercising strategy.(d) We assume that you sell the American put to a market participant A for the pricefound in (b). Explain how you act on the market…
What is the standard scores associated to the left of z is 0.1446
Note: The purpose of this problem below is to use computational techniques (Excelspreadsheet, Matlab, R, Python, etc.) and code the dynamic programming ideas seen inclass. Please provide the numerical answer to the questions as well as a sample of yourwork (spreadsheet, code file, etc.).We consider an N-period binomial model with the following properties: N = 60, thecurrent stock price is S0 = 1000; on each period, the stock price increases by 0.5% whenit moves up and decreases by 0.3% when it moves down. The annual interest rate on themoney market is 5%. (Notice that this model is a CRR model, which means that thebinomial tree is recombining.)(a) Find the price at time t0 = 0 of a (European) call option with strike price K = 1040and maturity T = 1 year.(b) Find the price at time t0 = 0 of a (European) put option with strike price K = 1040and maturity T = 1 year.(c) We consider now, that you are at time t5 (i.e. after 5 periods, which represents 1month later). Assume that the stock…
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, statistics and related others by exploring similar questions and additional content below.
Hypothesis Testing using Confidence Interval Approach; Author: BUM2413 Applied Statistics UMP;https://www.youtube.com/watch?v=Hq1l3e9pLyY;License: Standard YouTube License, CC-BY
Hypothesis Testing - Difference of Two Means - Student's -Distribution & Normal Distribution; Author: The Organic Chemistry Tutor;https://www.youtube.com/watch?v=UcZwyzwWU7o;License: Standard Youtube License