Essentials Of Investments
11th Edition
ISBN: 9781260013924
Author: Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher: Mcgraw-hill Education,
expand_more
expand_more
format_list_bulleted
Question
The following is a set of data from a sample of
n =11items
Complete parts (a) through left parenthesis c right parenthesis .
X
|
6
|
36
27
54
21
39
24
9
39
39
33
Y
|
2
|
12
9
18
7
13
8
3
13
13
11
a. Compute the covariance.
b. Compute the coefficient of correlation.
(Do not round until the final answer. Then round to three decimal places as needed.)
c. How strong is the relationship between X and Y? Explain.
A.
X and Y have no correlation.
B.
X and Y have a perfect positive correlation because all points fall on a straight line with a positive slope.
C.
X and Y have a perfect negative correlation because all points fall on a straight line with a negative slope.
D.
X and Y have a strong positive correlation because as X increases, Y tends to increase also.
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution
Trending nowThis is a popular solution!
Step by stepSolved in 5 steps with 5 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, finance and related others by exploring similar questions and additional content below.Similar questions
- What is the test statistics and critical values. I got 4.20 for the test statistic, but it says its incorrect.arrow_forwardPlease dont use any AI. It's strictly prohibited. Help me please asap.arrow_forwardLet X be a random variable such that E[X] = μ, V[X] =σ², max[X] = My min(X) = m with 0 Not egual to m < M and consider its normalization: E[Y] =μ M-m Determine whether the following statements are true or false. Perform the corresponding calculations. E[Y] μ V[Y] = M-m 2 σ M-marrow_forward
- Read the t statistic from the table of t distributions and circle the correct answer. A two-tailed test, a sample of 40 at a .01 level of significance; t = choice a,b,c,d as followed 2.708 1.328 1.96 2.567arrow_forwardFind the sample variance and standard deviation. 22, 10, 4, 8, 11 Choose the correct answer below. Fill in the answer box to complete your choice. (Type an integer or a decimal. Round to one decimal place as needed.) OA. 2= B. s²= Choose the correct answer below. Fill in the answer box to complete your choice. (Round to one decimal place as needed.) OA. σ= B. s=arrow_forwardWhat is answer for question b)arrow_forward
- Calculate the standard deviation of the following returns. Year Return 1 0.01 2 0.27 3 0.02 4 0.02 5 0.22 Enter the answer with 4 decimals, e.g. 0.1234.arrow_forwardIf Y(subscript 1) = 116 and Y(subscript 7) = 225, then the simple index number for period 7 (denoted I(subscript 7)) is:?arrow_forwardq27- Which of the following related to the Correlation coefficient (r) are true? Select one: a. r = +1: a perfect linear relationship exists between the two variables b. r > 1: a non-linear relationship between the two variables c. r = 0: a weak linear relationship between the two variables d. r = -1: no linear relationship exists between the two variablesarrow_forward
- Suppose you're given a data set that classifies each sample unit into one of four categories: A, B, C, the data as A = 1, B=2, C = 3, and D=4. Are the data consisting of the classifications A, B, C, and D or quantitative? Are the data consisting of the classifications A, B, C, and D qualitiative or quantitative? OA. Qualitative, because they are measured on a naturally occuring numerical scale. B. Quantitative, because they are measured on a naturally occuring numerical scale. C. Quantitative, because they can only be classified into categories. D. Qualitative, because they can only be classified into categories. *** After the data are input as 1, 2, 3, or 4, are they qualitative or quantitative? OA. Qualitative, because they cannot be meaningfully added, subtracted, multiplied, or divided. B. Qualitative, because they are measured on a naturally occurring numerical scale. OC. Quantitative, because they are measured on a naturally occurring numerical scale. OD. Quantitative, because…arrow_forwardOver the past four days, the realized values of the random variable A are: 8, -2, 2 and 11. In the same order, the realized values of the random variable B are: 6, 2, 2 and -10. Compute the correlation between A and B.arrow_forwardq8- When visualising the distribution of a variable using a histogram, if only the right tail has outliers, the data distribution is: a. Right-skewed b. Normal c. Left-skewed d. Uniformarrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
- Essentials Of InvestmentsFinanceISBN:9781260013924Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.Publisher:Mcgraw-hill Education,
- Foundations Of FinanceFinanceISBN:9780134897264Author:KEOWN, Arthur J., Martin, John D., PETTY, J. WilliamPublisher:Pearson,Fundamentals of Financial Management (MindTap Cou...FinanceISBN:9781337395250Author:Eugene F. Brigham, Joel F. HoustonPublisher:Cengage LearningCorporate Finance (The Mcgraw-hill/Irwin Series i...FinanceISBN:9780077861759Author:Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan ProfessorPublisher:McGraw-Hill Education
Essentials Of Investments
Finance
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Mcgraw-hill Education,
Foundations Of Finance
Finance
ISBN:9780134897264
Author:KEOWN, Arthur J., Martin, John D., PETTY, J. William
Publisher:Pearson,
Fundamentals of Financial Management (MindTap Cou...
Finance
ISBN:9781337395250
Author:Eugene F. Brigham, Joel F. Houston
Publisher:Cengage Learning
Corporate Finance (The Mcgraw-hill/Irwin Series i...
Finance
ISBN:9780077861759
Author:Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor
Publisher:McGraw-Hill Education