Question

Let *x* be a random variable representing dividend yield
of bank stocks. We may assume that *x* has a normal
distribution with *σ* = 2.0%. A random sample of 10 bank
stocks gave the following yields (in percents).

5.7 | 4.8 | 6.0 | 4.9 | 4.0 | 3.4 | 6.5 | 7.1 | 5.3 | 6.1 |

The sample mean is *x* = 5.38%. Suppose that for the
entire stock market, the mean dividend yield is *μ* = 4.9%.
Do these data indicate that the dividend yield of all bank stocks
is higher than 4.9%? Use *α* = 0.01.

Compute the *z* value of the sample test statistic. (Round
your answer to two decimal places.)

(c) Find (or estimate) the *P*-value. (Round your answer to
four decimal places.)

(d) Based on your answers in parts (a) to (c), will you reject or
fail to reject the null hypothesis? Are the data statistically
significant at level *α*?

a. At the *α* = 0.01 level, we reject the null hypothesis
and conclude the data are statistically significant.

b. At the *α* = 0.01 level, we reject the null hypothesis
and conclude the data are not statistically
significant.

c. At the *α* = 0.01 level, we fail to reject the null
hypothesis and conclude the data are statistically significant.

d. At the *α* = 0.01 level, we fail to reject the null
hypothesis and conclude the data are not statistically
significant.

(e) State your conclusion in the context of the application.

a. There is sufficient evidence at the 0.01 level to conclude that the average yield for bank stocks is higher than that of the entire stock market.

b. There is insufficient evidence at the 0.01 level to conclude that the average yield for bank stocks is higher than that of the entire stock market.

Answer #1

Let x be a random variable representing dividend yield
of bank stocks. We may assume that x has a normal
distribution with σ = 2.3%. A random sample of 10 bank
stocks gave the following yields (in percents).
5.7
4.8
6.0
4.9
4.0
3.4
6.5
7.1
5.3
6.1
The sample mean is x = 5.38%. Suppose that for the
entire stock market, the mean dividend yield is μ = 4.9%.
Do these data indicate that the dividend yield of all...

Let x be a random variable representing dividend yield
of bank stocks. We may assume that x has a normal
distribution with σ = 2.7%. A random sample of 10 bank
stocks gave the following yields (in percents).
5.7
4.8
6.0
4.9
4.0
3.4
6.5
7.1
5.3
6.1
The sample mean is x = 5.38%. Suppose that for the
entire stock market, the mean dividend yield is μ = 4.9%.
Do these data indicate that the dividend yield of all...

Let x be a random variable representing
dividend yield of bank stocks. We may assume that x has a
normal distribution with σ = 2.0%. A random sample of 10 bank
stocks gave the following yields (in percents).
5.74.86.04.94.03.46.57.15.36.1
The sample mean is x = 5.38%. Suppose that for the entire stock
market, the mean dividend yield is μ = 4.9%. Do these data indicate
that the dividend yield of all bank stocks is higher than 4.9%? Use
α =...

Let x be a random variable representing
dividend yield of bank stocks. We may assume that x has a
normal distribution with σ = 2.0%. A random sample of 10 bank
stocks gave the following yields (in percents).
5.74.86.04.94.03.46.57.15.36.1
The sample mean is x = 5.38%. Suppose that for the entire stock
market, the mean dividend yield is μ = 4.9%. Do these data indicate
that the dividend yield of all bank stocks is higher than 4.9%? Use
α =...

Let x be a random variable representing dividend yield of bank
stocks. We may assume that x has a normal distribution with σ =
2.5%. A random sample of 10 bank stocks gave the following yields
(in percents). 5.7 4.8 6.0 4.9 4.0 3.4 6.5 7.1 5.3 6.1 The sample
mean is x = 5.38%. Suppose that for the entire stock market, the
mean dividend yield is μ = 4.2%. Do these data indicate that the
dividend yield of all...

Let x be a random variable representing dividend yield
of bank stocks. We may assume that x has a normal
distribution with σ = 3.3%. A random sample of 10 bank
stocks gave the following yields (in percents).
5.7
4.8
6.0
4.9
4.0
3.4
6.5
7.1
5.3
6.1
The sample mean is x = 5.38%. Suppose that for the
entire stock market, the mean dividend yield is μ = 4.8%.
Do these data indicate that the dividend yield of all...

Let x be a random variable representing dividend yield
of bank stocks. We may assume that x has a normal
distribution with σ = 2.0%. A random sample of 10 bank
stocks gave the following yields (in percents).
5.7
4.8
6.0
4.9
4.0
3.4
6.5
7.1
5.3
6.1
The sample mean is x = 5.38%. Suppose that for the
entire stock market, the mean dividend yield is μ = 4.6%.
Do these data indicate that the dividend yield of all...

Let x be a random variable representing dividend yield of bank
stocks. We may assume that x has a normal distribution with σ =
2.3%. A random sample of 10 bank stocks gave the following yields
(in percents).
5.7 4.8 6.0 4.9 4.0 3.4 6.5 7.1 5.3 6.1
The sample mean is x = 5.38%.
Suppose that for the entire stock market, the mean dividend
yield is μ = 4.4%.
Do these data indicate that the dividend yield of all...

Let x be a random variable representing dividend yield of bank
stocks. We may assume that x has a normal distribution with σ =
2.5%. A random sample of 10 bank stocks gave the following yields
(in percents). 5.7 4.8 6.0 4.9 4.0 3.4 6.5 7.1 5.3 6.1 The sample
mean is x = 5.38%. Suppose that for the entire stock market, the
mean dividend yield is μ = 4.6%. Do these data indicate that the
dividend yield of all...

Let x be a random variable representing dividend yield
of bank stocks. We may assume that x has a normal
distribution with σ = 3.1%. A random sample of 10 bank
stocks gave the following yields (in percents).
5.7
4.8
6.0
4.9
4.0
3.4
6.5
7.1
5.3
6.1
The sample mean is x = 5.38%. Suppose that for the
entire stock market, the mean dividend yield is μ = 5.0%.
Do these data indicate that the dividend yield of all...

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