quantitative method assignment
I. How to submit this Assignment 1. Answers MUST BE NICELY TYPED in a Microsoft Word document. Times New Roman, 12pt font is highly recommended. 2. The document must have 1 inch margin all around on all pages. All pages must be numbered. 3. You are encouraged to use LATEXfor document preparation. A sample LATEXfile is available in the eLearn. You can add a LATEX-add on to your Chrome browser https://chrome.google.com/ webstore/detail/latex-editor/jjbmkdcafifjgaakgpbnhgpjngegpmap?hl=en. Copy and paste the sample LATEX- code inside the add-on and modify according to your needs. Alternatively, you may use a native installation from https://www.latex-project.org/get/ for more complex documents. This document was produced using LATEX. To draw elegant pictures in LATEX, you can find help at https://sites.google.com/site/kochiuyu/Tikz. 7. Photographs of handwritten work, and email submissions WILL NOT BE ACCEPTED. 8. No hard copy submission is allowed. 9. Each submission will be subjected to a strict plagiarism test. Submissions failing the plagiarism test will automatically earn a FAILING GRADE NO EXCEPTIONS !!! 10. All supporting data and calculations MUST BE UPLOADED alongside the Word File. The data work must be in a Microsoft Excel format. II. What Topics You Need to Cover for This Examination? This examination is based on these following concepts: 1. Introduction to Business Statistics 2. Data types and measurement 3. Calculating descriptive statistics 4. Displaying descriptive statistics 5. Sampling and Sampling Distribution 6. One Sample Hypothesis Tests Involving Means 7. Two sample hypothesis Tests Involving Means 3. Numerical Problems Nicely type your answers in a Word document that will be submitted. Feel free to upload any supporting file (like (Microsoft Excel) with with main submission as supporting documentation. DO NOT submit the images of the handwritten work docuements. 1. Consider two samples Sample A: {1, 7, 8, 10, 11, 19, 12} Sample B: {1, 3, 5, 7, 8, 10, 12, 14, 18}. (a) Compute the arithmatic mean, geometric mean, median, variance, standard deviation, skewness, maximum, minimum, inter-quartile range, 90th percentile, 75th percentile, 95% confidence interval for population mean, 90% confidence interval for population mean, and 99% confidence interval for population mean for Sample A. (b) Compute the arithmatic mean, geometric mean, median, variance, standard deviation, skewness, maximum, minimum, inter-quartile range, 90th percentile, 75th percentile, 95% confidence interval for population mean, 90% confidence interval for population mean, and 99% confidence interval for population mean for Sample B. (c) Find the 95% confidence interval for the difference of the two population means. Test the hypothesis that the populations from which the two samples have been drawn have the same mean. Precisely state the hypothesis in terms of H0 and H1 and the test statistic to be used for this hypothesis test. (d) Test the hypothesis that the populations from which the two samples have been drawn have means whose difference is no more than 4. Precisely state the hypothesis in terms of H0 and H1 and the test statistic to be used for this hypothesis test. 2. Consider two samples Sample A: {18, 18, 30, 24, 23} Sample B: {15, 33, 27, 7, 17, 19, 25, 35}. Test the hypothesis that the two populations from which these two samples have been drawn have the same mean. 4. Data Analysis Questions There are multiple videos in eLearn on how to do statistics, and hypothesis tests. Watch those videos if you need to. Visit https://finance.yahoo.com/ and collect the adjusted closing price for the 24 most recent months for Microsoft (ticker symbol MSFT) and Tesla (ticker symbol TSLA). Compute the monthly percentage change in adjusted closing price for both the stocks. 1. Compute the arithmatic mean, geometric mean, median, variance, standard deviation, skewness, maximum, minimum, inter-quartile range, 90th percentile, 75th percentile, 95% confidence interval for population mean, 90% confidence interval for population mean, and 99% confidence interval for population mean for the monthly return on Microsoft stock. 2. Compute the arithmatic mean, geometric mean, median, variance, standard deviation, skewness, maximum, minimum, inter-quartile range, 90th percentile, 75th percentile, 95% confidence interval for population mean, 90% confidence interval for population mean, and 99% confidence interval for population mean for the monthly return on Tesla stock. 3 3. Test the hypothesis that the two stocks have the same mean monthly return. 4. Based on your analysis, which stock seems to be (a) More stable and less risky and (b) a better investment? NOTE Feel free to assume α = 0.05 for hypothesis testing questions.