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Lower bound and upper bound? The data in the accompanying table represent the ra

ID: 3257055 • Letter: L

Question

Lower bound and upper bound? The data in the accompanying table represent the rate of return of a certain company stock for 11 months, compared with the rate of return of a certain index of stocks. Both are in percent. Complete parts (a) through (d) below. Determine the P-value for this hypothesis test. P-value = 0.026 (Round to three decimal places as needed.) State the appropriate conclusion at the alpha = 0.10 level of significance. A. Do not reject H_0. There is not sufficient evidence to conclude that company stock. B. Do not reject H_0. There is sufficient evidence to conclude that a company stock C. Reject H_0. There is sufficient evidence to conclude that a linear stock. D. Reject H_0. There is not sufficient evidence to conclude that a linear stock. (c) Assuming the residuals are normally distributed, construct a 90% confidence Lower bound. 0.2376 (Round to four decimal places as needed.) Upper bound: 1.2920 (Round to four decimal places as needed.) (d) What is the mean rate of return for the company stock if the rate of

Explanation / Answer

using minitab,


Two-Sample T-Test and CI: x, y

Two-sample T for x vs y

N Mean StDev SE Mean
x 11 -0.54 3.55 1.1
y 11 0.82 4.09 1.2


Difference = (x) - (y)
Estimate for difference: -1.36
90% CI for difference: (-4.18, 1.46)
T-Test of difference = 0 (vs ): T-Value = -0.83 P-Value = 0.416 DF = 19

P-Value = 0.416

90% CI for difference: (-4.18, 1.46)