In an annual report to investors, an investment firm claims that the share price of one of their bond funds had very little variability. The report shows the average price as $15.00 with a variance of 0.19. One of the investors wants to investigate this claim. He takes a random sample of the share prices for 22 days throughout the last year and finds that the standard deviation of the share price is 0.2517. Can the investor conclude that the variance of the share price of the bond fund is different than claimed at α = 0.05. Assume the population is normally distributed.

Required:
State the null and alternative hypotheses. Round to four decimal places when necessary

Answers

Answer 1

In this question, the variance of the population is tested. From the data given in the exercise, we build the hypothesis, then we find the value of  test statistic and it's respective p-value, to conclude the test. From this, it is found that the conclusion is:

The p-value of the test is 0.0038 < 0.05, which means that the investor can conclude that the variance of the share price of the bond fund is different than claimed at α = 0.05.

----------------

Claimed variance of 0.19:

This means that at the null hypothesis, it is tested if the variance is of 0.19, that is:

[tex]H_0: \sigma^2 = 0.19[/tex]

----------------

Test if the variance of the share price of the bond fund is different than claimed at α = 0.05.

At the alternative hypothesis, it is tested if the variance is different of the claimed value of 0.19, that is:

[tex]H_1: \sigma^2 \neq 0.19[/tex]

The test statistic for the population standard deviation/variance is:[tex]\chi^2 = \frac{n-1}{\sigma_0^2}s^2[/tex]

In which n is the sample size,  is the value tested for the variance and s is the sample standard deviation.

----------------

0.19 is tested at the null hypothesis, as the variance:

This means that [tex]\sigma_0^2 = 0.19[/tex]

----------------

He takes a random sample of the share prices for 22 days throughout the last year and finds that the standard deviation of the share price is 0.2517.

This means that [tex]n = 22, s^2 = (0.2517)^2 = 0.0634[/tex]

----------------

Value of the test statistic:

[tex]\chi^2 = \frac{n-1}{\sigma_0^2}s^2[/tex]

[tex]\chi^2 = \frac{21*0.0634}{0.19}[/tex]

[tex]\chi^2 = 7[/tex]

----------------

P-value of the test and decision:

The p-value of the test is found using a chi-square for the variance calculator, considering a test statistic of [tex]\chi^2 = 7[/tex] and 22 - 1 = 21 degrees of freedom, and a two-tailed test(test if the mean is different of a value).

Using the calculator, the p-value of the test is 0.0038.

The p-value of the test is 0.0038 < 0.05, which means that the investor can conclude that the variance of the share price of the bond fund is different than claimed at α = 0.05.

For more on hypothesis tests using variances/standard deviation, you can check https://brainly.com/question/13993951


Related Questions

Find the product:
1 -1 2
12 1 0] -1 -2 1 [a b c
0 1 1
a
12
b=0

Answers

Answer:

[tex][1, -4 ,5][/tex]

Step-by-step explanation:

In this question we are multiplying together two matrices. When we multiply a (1 x 3) matrix with a (3 x 3) matrix, we get a (1 x 3) matrix.

To compute each value, all you need to do is take the each value in each row in the first matrix, and multiply it by each value in each column of the second matrix and add up the result. So let's do that.

[tex]a = (2 * 1) + (1 * -1) + (0 * 0) = 2 - 1 + 0 = 1[/tex]

[tex]b = (2 * -1) + (1 * -2) + (0 * 1) = -2 -2 = -4[/tex]

[tex]c = (2 * 2) + (1 * 1) + (0 * 1) = 4 + 1 + 0 = 5[/tex]

Need help so confused thankssss

Answers

Let complementary angle be x,

Then the other angle is 4x

x + 4x = 90 ( complementary angles)

5x = 90

x = 90/5

x = 18,

The measure of the smaller angle = 18

And the measure of the larger angle = 4x

= 4 * 18

= 72

The supplementary of the larger angle is,

Let y be the other supplementary angle.


72 + y = 180 ( Supplementary angles)

y = 180 - 72

y = 108.

Hence, the other supplementary angle is 108 degrees.


Hope you understood. Plzzz let me know if you have any doubts.

5 A machine puts tar on a road at the rate of 4 metres in 5 minutes.
a) How long does it take to cover 1 km of road
b) How many metres of road does it cover in 8 hours?​

Answers

Answer:

5 a) Total = 20.83 hrs = 20 hrs and 50 mins  (1250mins total)

5 b) Total = 96 meters. = 0.096km in 8 hrs.

Step-by-step explanation:

1km = 1000 meters

5 mins = 4 meters

1000/4 = 250 multiplier

250 x 5mins = 1250 minutes

1250/60 = 20hrs + 50 minutes

50 / 60 =  0.83 = 20.83hrs

b)  8 hrs = 8 x 60 = 480 minutes

480/5 = 24 multiplier of 4 meters

24 x 4 = 96 meters

1106.666667 to the nearest whole number

Answers

Answer:

1106.666667 to the nearest whole number

1107

Answer:

1106.666667 rounds to 1107

Step-by-step explanation:

We look at the whole number, 6

Then look at the tenths place .6

Since 6 is greater than or equal to 5, we round the whole number up one place to 7

1106.666667 rounds to 1107

Which set of angles are complementary

Answers

Answer:

A. <ECF and <BCF

Step-by-step explanation:

Complementary angles are angles that add up to give 90°

m<BCE = m<BCA = 90° (right angles)

m<ECF + m<BCF = m<BCA

m<ECF + m<BCF = 90° (Substitution)

Therefore, <ECF and <BCF are complementary angles.

URGENT! WILL GIVE BRAINLIEST (PICTURE INCLUDED)

Answers

9514 1404 393

Answer:

  x > -1 and x ≠ 3

Step-by-step explanation:

The function value will be positive when there are an even number of negative factors. The factors change sign at x = -1, are zero at x = 3. The expression is positive for ...

  x > -1 and x ≠ 3

Which two shapes make up the digital camera below?

Answers

Rectangular prism and cylinder

Rectangular prism and cylinder make up a camera.

What is rectangular prism and cylinder?

A cube is a rectangular prism with all of its sides being the same length, a triangular prism has a triangle as its base, and a rectangular prism has a rectangle as its foundation. Another form of right prism that has a circle as its basis is a cylinder.

A rectangular prism includes a total of 6 faces, 12 sides, and eight vertices. Like a cuboid, it contains three dimensions- the base width, the height, and the length. The top and base of the rectangular prism exist rectangular. The pairs of opposite faces of a rectangular prism exist as identical or congruent.

A cylinder contains traditionally been a three-dimensional solid, one of the most essential curvilinear geometric shapes. Geometrically, it includes been regarded as a prism with a circle as its base.

Hence, Rectangular prism and cylinder make up a camera.

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What is the volume of the cone

Answers

Answer:

The volume of this cone would be approximately equal to 2787.64 [tex]yd.^2[/tex].

Step-by-step explanation:

The formula used to calculate the volume of a cone is [tex]\pi r^2*\frac{h}{3}[/tex] where [tex]r[/tex] represents the radius of the circle at the base of the cone, and [tex]h[/tex] represents the vertical height of the cone. In this case, [tex]r[/tex] equals the diameter of the base divided by two, which is [tex]\frac{22}{2}[/tex] or 11 yards; and [tex]h[/tex] is equivalent to 22 yards. Insert these values into the formula and you'll get that the volume of this cone is equal to [tex]11^2*\pi*\frac{22}{3} = 121\pi * \frac{22}{3}[/tex] ≈ 2787.64 [tex]yd.^2[/tex], so that is the correct answer.

A number is equal to twice a smaller number plus 3. The same number is equal to twice the sum of the smaller number and 1. How many solutions are possible for this situation?
* Infinitely many solutions exist because the two situations describe the same line.
* Exactly one solution exists because the situation describes two lines that have different slopes and different y-intercepts.
* No solutions exist because the situation describes two lines that have the same slope and different y-intercepts.
* Exactly one solution exists because the situation describes two lines with different slopes and the same y-intercept.

Answers

Answer:

There is no solution to this.

Explanation :

We have a double system of equation to solve. Let x be the big number and let y be the smaller number, such that y < x.

x is equal to twice a smaller number plus 3, which translates into : x = 2y + 3

and x is equal to twice the sum of the smaller number and 1 : x = 2 * (y + 1)

We get this system to solve : [tex]\left \{{{x=2y+3} \atop {x=2(y+1)}} \right. \left \{{{x-2y=3} \atop {x-2y=2}} \right.[/tex]

It's either x minus 2y equals 3, or x minus 2y = 2 but it can't be both. No solutions exist because the situation describes two lines that have the same slope and different y-intercepts

solve similar triangles (advanced)
solve for x

Answers

Answer:

x = 27/8

Step-by-step explanation:

We can write a ratio to solve

x               3

------- = ----------

x+9           11

Using cross products

x*11 = 3(x+9)

11x = 3x+27

Subtract 3x from each side

8x = 27

8x/8 = 27/8

x = 27/8

Please I need the answer according to steps

Answers

Answer:

Factorise out x and y terms:

[tex]{ \tt{ = \frac{ {x}^{2} {y}^{4} (5x - 3y)}{45} }} \\ [/tex]

Trish's punch recipe calls for 8 liters of lemon-lime soda and 4 liters of cranberry juice, Jenny's punch recipe requires 7
liters of lemon-lime soda and 6 liters of cranberry juice. Which recipe has a higher ratio of lemon-lime soda to cranberry
juice?
( A, neither, the ratios are equivalent
B. Trish's recipe
c. Jenny's recipe
D. not enough information

Answers

B because it’s shows that 8-4=4 and 7-6=1 so there’s your answer

Pls if anyone knows the answer with work included/steps that will be greatly appreciated :) for 6 just want to know is it w y x or z

Answers

Answer:

Step-by-step explanation:

Let's begin calculating the MPH for Fran.: Joanne's MPH is 250 / 2.5 = 100 MPH.

Now I'm going to subtract the 100 MPH by Fran. going 10 MPH less: 100 - 10 = 90.

I can't see the bottom part of the graph, so based on the MPH, it might be X, if you could put a better picture it would be better!

According to this diagram, what is tan 62°?
62°
17
18
280
90°
15
O A.
8
17
OB.끝
O c. 1
8
15
D.
15
8
O
E.
17
15
F.
15
17

Answers

Answer:

15/8

Step-by-step explanation:

tan(62)=P/B

tan(62)=15/8

2(4×+2)=10
[tex]6 \times + 4 = 10 \\ \\ 6 \times = 10 - 4 \\ \\ 6 \times = 6 \\ \\ [/tex]
that is the answer

Answers

Answer:

x = 3/4

Step-by-step explanation:

2(4x + 2) = 10           Remove the brackets

8x + 4 = 10               Subtract 4 from both sides

8x = 6                       Divide by 8

x = 6/8

x = 3/4

Check

2(4*3/4 + 2) =?10

2( 3 + 2) = 10

2*5 = 10

10 = 10

Complete the table for the given rule.
Rule: y is 0.75 greater than x
x y
0
3
9

Answers

The complete table is

x    y

0    0.75

3     3.75

9     9.75

What is equation?

An equation is a mathematical statement that is made up of two expressions connected by an equal sign.

What is substitution?

Substitution means putting numbers in place of letters to calculate the value of an expression or equation.

According to the given question.

We have values of x.

Also, one rule that y is 0.75 greater than x.

So, we have a equation for finding the value of y  i.e.

[tex]y = x + 0.75..(i)[/tex]

For finding the value of y

At x = 0, substitute x = 0 in equation (i)

[tex]y = 0 + 0.75\\\implies y = 0.75[/tex]

At x = 3, substitute x = 3 in equation (i)

[tex]y = 3+0.75\\\implies y = 3.75[/tex]

At x = 9, substitute x = 9 in equation (i)

[tex]y = 9+0.75\\\implies y = 9.75[/tex]

Hence, the complete table is

x    y

0    0.75

3     3.75

9     9.75

Find out more information about equation and substitution here:

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Which of the following is a like radical to ^3sqrt7x?
A. 4(^3sqrt7x)
B. sqrt7x
C. x (3sqrt7)
D. 7sqrtx

Answers

Answer:

A   and B

Step-by-step explanation:

PLEASE HELP AND BE CORRECT

Answers

(b⁷/4⁵)⁻³

= (4⁵/b⁷)³

= 4¹⁵/b²¹

Therefore answer is option b

Must click thanks and mark brainliest

please can anyone help me with this question what is the probability of the spinner landing on an even number.​

Answers

1/2 chance it will land on an even number


Explanation there is 4 even numbers and 4 odd numbers meaning it’s a 50/50 chance

Your parents deposit 2 50-dollar bills at the bank.
How much money did they deposit?

Answers

$100 is what they deposited!!

Answer: $100

Step-by-step explanation:

Considering 50 + 50 = 100

This means that the amount of money is $100

> There are 14 books on a shelf. 6 of these books are new. The rest of them are used (a) What is the ratio of new books to used books? (b) What is the ratio of used books to all books on the shelf ​

Answers

Answer:

a) 6:8

Because you have 14 books total if you substract 14 - 6= 8, so now you have

14 Books total

6 New Books

8 Used Books.

So, the ratio of new books to used books is 6:8 or if you simplified is 3:4.

b) 8:14

Because you have 8 used books compare to 14 books total. If you simplified your fraction you'll have 4:7

Step-by-step explanation:

find the sum of all multiples of 9 between 0 and 200​

Answers

Answer:

I thick the answer is 2277

Which of the following statements correctly explains the meaning of the term "95% confidence" in the confidence statement? The interval 52% to 58% is based on a procedure that includes a sample representing 95% of population. The interval 52% to 58% is based on a procedure that includes the true population value 95% of the time. The interval 52% to 58% is based on a procedure that produces a margin of error (of ±3) 95% of the time.

Answers

Answer:

The interval 52% to 58% is based on a procedure that includes the true population value 95% of the time.

Step-by-step explanation:

x% confidence interval:

A confidence interval is built from a sample, has bounds a and b, and has a confidence level of x%. It means that we are x% confident that the population mean is between a and b.

95% confidence

We are 95% sure that the interval contains the true mean/proportion, and thus, the correct option is:

The interval 52% to 58% is based on a procedure that includes the true population value 95% of the time.

How do you Find the acute Angle A when sinA=0.616?

Answers

Answer:

arcsin0.616

Step-by-step explanation:

arcsino.616

2( 1/5 m− 2/5 )+ 3/5

Answers

Answer:

2m/5-1/5

Step-by-step explanation:

2*m-2/5+3/5

2(m-2)/5+3/5

2(m-2)/5+3/5

2m-4/5+3/5

2m/5-1/5

This graph represents which of these expressions?

Answers

Answer:

x > 43

Step-by-step explanation:

Open circle at 43, which means it is not equal to 43

Line goes to the right, which means x is greater than

x > 43

Answer:

B

Step-by-step explanation:

Jean drove 67 miles per hour for a total of 469 miles on a trip. She used the equation below to calculate the time, t, it would take her to complete the trip.



469 = 67t


What is the constant of proportionality in the equation?
A.
7
B.
67
C.
469
D.
t

Answers

9514 1404 393

Answer:

  B.  67

Step-by-step explanation:

Miles are proportional to time at some speed. The constant of proportionality is the speed, 67 (miles per hour).

What is the lengh of the line

Answers

Answer:

√45 or 3√5

Step-by-step explanation:

What is the value of the capacitance of a capacitor that stores 40
μ
C on each plate, when a potential difference of 10 V is applied to it?

Answers

Charge=Q=40uCPotential difference=V=10VCapacitance=C=?

We know

[tex]\boxed{\sf Q=CV}[/tex]

[tex]\\ \large\sf\longmapsto C=\dfrac{Q}{V}[/tex]

[tex]\\ \large\sf\longmapsto C=\dfrac{40}{10}[/tex]

[tex]\\ \large\sf\longmapsto C=4\mu F[/tex]

Write the ratio as a fraction in simplest form, with whole numbers in the numerator and denominator.
4L TO 7.2 L

Answers

9514 1404 393

Answer:

  5/9

Step-by-step explanation:

  [tex]\dfrac{4\text{ L}}{7.2\text{ L}}=\dfrac{40}{72}=\dfrac{5\cdot8}{9\cdot8}=\boxed{\dfrac{5}{9}}[/tex]

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