Question

Average stock earnings per share for financial service corporations such as American Express, E * Trade Group, Goldman Sachs, and Merril Lynch were $ 3 (Business Week, August 14, 2000). In 2001, the following earnings per share data were obtained for a sample of 10 financial services corporations:

1.92  2.16  3.63  3.16  4.02  3.14  2.20  2.34  3.05  2.38

Using the tools learned in the course, perform the required analysis to determine if the average population earnings per share in 2001 differ from the three dollars reported in 2000, with a 5.0% margin of error.

Answer 1