Question

A stockbroker thought that the average number of shares of stocks traded daily in the stock market was about 500 million. To test the claim, a researcher selected a random sample of 40 days and found the mean number of shares traded each day was 506 million shares. The standard deviation of the sample was 10.3 At α = 0.05 is there enough evidence to reject the broker’s claim? Based on the results to you agree or disagree with the broker? Solve using the Traditional Method.

                         = 506

                        S= 10.3

                        n= 40

Answer 1