Suppose a mutual fund qualifies as having moderate risk if the standard deviation of its monthly rate of return is less than 4%. A mutual-fund rating agency randomly selects 26 months and determines...


Please help


Suppose a mutual fund qualifies as having moderate risk if the standard deviation of its monthly rate of return is less than<br>4%. A mutual-fund rating agency randomly selects 26 months and determines the rate of return for a certain fund. The<br>standard deviation of the rate of return is computed to be 2.75%. Is there sufficient evidence to conclude that the fund has<br>moderate risk at the a = 0.05 level of significance? A normal probability plot indicates that the monthly rates of return are<br>normally distributed.<br>What are the correct hypotheses for this test?<br>The null hypothesis is Ho:<br>The alternative hypothesis is H,:<br>Calculate the value of the test statistic.<br>2 = (Round to three decimal places as needed.)<br>Use technology to determine the P-value for the test statistic.<br>The P-value is<br>(Round to three decimal places as needed.)<br>What is the correct conclusion at the a = 0.05 level of significance?<br>than the level of significance,<br>evidence to conclude that the fund has moderate risk at the 0.05 level of significance.<br>Since the P-value is<br>the null hypothesis. There<br>sufficient<br>

Extracted text: Suppose a mutual fund qualifies as having moderate risk if the standard deviation of its monthly rate of return is less than 4%. A mutual-fund rating agency randomly selects 26 months and determines the rate of return for a certain fund. The standard deviation of the rate of return is computed to be 2.75%. Is there sufficient evidence to conclude that the fund has moderate risk at the a = 0.05 level of significance? A normal probability plot indicates that the monthly rates of return are normally distributed. What are the correct hypotheses for this test? The null hypothesis is Ho: The alternative hypothesis is H,: Calculate the value of the test statistic. 2 = (Round to three decimal places as needed.) Use technology to determine the P-value for the test statistic. The P-value is (Round to three decimal places as needed.) What is the correct conclusion at the a = 0.05 level of significance? than the level of significance, evidence to conclude that the fund has moderate risk at the 0.05 level of significance. Since the P-value is the null hypothesis. There sufficient

Jun 07, 2022
SOLUTION.PDF

Get Answer To This Question

Related Questions & Answers

More Questions »

Submit New Assignment

Copy and Paste Your Assignment Here