You may need to use the appropriate technology to answer this question. Investors commonly use the standard deviation of the monthly percentage return for a mutual fund as a measure of the risk for the fund; in such cases, a fund that has a larger standard deviation is considered more risky than a fund with a lower standard deviation. The standard deviation for a certain fund, referred to as Fund A, and the standard deviation for a second fund, Fund B, were recently reported to be 14.0% and 18.9%, respectively. Assume that each of these standard deviations is based on a sample of 60 months of returns. Do the sample results support the conclusion that the Fund B has a larger population variance than Fund A? (Assume that ? = 0.05.) State the null and alternative hypotheses. H0: ?12 ≤ ?22 Ha: ?12 > ?22 H0: ?12 = ?22 Ha: ?12 ≠ ?22      H0: ?12 > ?22 Ha: ?12 ≤ ?22 H0: ?12 ≠ ?22 Ha: ?12 = ?22 Find the value of the test statistic.   Find the p-value. (Round your answer to four decimal places.) p-value =  State your conclusion. Reject H0. We can conclude that the Fund B has a greater variance than Fund A.Do not reject H0. We cannot conclude that the Fund B has a greater variance than Fund A.    Reject H0. We cannot conclude that the Fund B has a greater variance than Fund A.Do not reject H0. We can conclude that the Fund B has a greater variance than Fund A. Which fund is more risky? The more risky fund is     .

Calculate the value of the test statistic. Determine P value. Reject or do not reject?

Serial correlation, also known as autocorrelation, describes the extent to which the result in one period of a time series is related to the result in the next period. A time series with high serial correlation is said to be very predictable from one period to the next. If the serial correlation is low (or near zero), the time series is considered to be much less predictable. For more information about serial correlation, see the book Ibbotson SBBI published by Morningstar. A research veterinarian at a major university has developed a new vaccine to protect horses from West Nile virus. An important question is: How predictable is the buildup of antibodies in the horse's blood after the vaccination is given? A large random sample of horses were given the vaccination. The average antibody buildup factor (as determined from blood samples) was measured each week after the vaccination for 8 weeks. Results are shown in the following time series. Original Time Series Week Buildup Factor 2 3 4…

Risk-taking is an important part of investing. In order to make suitable investment decisions on behalf of their customers, portfolio managers give a questionnaire to new customers to measure their desire to take financial risks. The scores on the questionnaire are approximately normally distributed with a mean of 51 and a standard deviation of 16. The customers with scores in the bottom 15% are described as "risk averse." What is the questionnaire score that separates customers who are considered risk averse from those who are not? Carry your intermediate computations to at least 4 decimal places. Round answer to one decimal place.

The average return, standard deviation, and beta for Fund A is given below along with data for the S&P 500 Index. Fund Average Return Standard Deviation Beta A 28.9% 30% 1.8 S&P 500 23.2% 20% 1 Risk-free 1.9%     Calculate the T2 measure of performance for Fund A. Use the correct sign if the answer is negative!  Example: -1.23

Risk taking is an important part of investing. In order to make suitable investment decisions on behalf of their customers, portfolio managers give a questionnaire to new customers to measure their desire to take financial risks. The scores on the questionnaire are approximately normally distributed with a mean of 49 and a standard deviation of 16. The customers with scores in the bottom 10% are described as "risk averse." What is the questionnaire score that separates customers who are considered risk averse from those who are not? Carry your intermediate computations to at least four decimal places. Round your answer to one decimal place. ? O

The charts display the data of a price index of consumer goods. Has the index fluctuated around its mean according to a Normal model? Is a Normal model appropriate for these data? 200 150 - Index 100 50 750 Index 150.0 2250 recoes Choose the correct answer below. O A. The Normal model is appropriate because the histogram is unimodal, and the Normal probability plot is bent. O B. The Normal model is not appropriate because the histogram has a long, trailing high tail, and the Normal probability plot is bent. O C. The Normal model is not appropriate because the histogram is unimodal and symmetric, and the Normal probability plot is straight. O D. The Normal model is appropriate because the histogram is unimodal and symmetric, and the Normal probability plot is straight.

Risk taking is an important part of investing. In order to make suitable investment decisions on behalf of their customers, portfolio managers give a questionnaire to new customers to measure their desire to take financial risks. The scores on the questionnaire are approximately normally distributed with a mean of 49 and a standard deviation of 14. The customers with scores in the bottom 5% are described as "risk averse." What is the questionnaire score that separates customers who are considered risk averse from those who are not? Carry your intermediate computations to at least four decimal places. Round your answer to one decimal place.

Serial correlation, also known as autocorrelation, describes the extent to which the result in one period of a time series is related to the result in the next period. A time series with high serial correlation is said to be very predictable from one period to the next. If the serial correlation is low (or near zero), the time series is considered to be much less predictable. For more information about serial correlation, see the book Ibbotson SBBI published by Morningstar. An Internet advertising agency is studying the number of "hits" on a certain web site during an advertising campaign. It is hoped that as the campaign progresses, the number of hits on the web site will also increase in a predictable way from one day to the next. For 10 days of the campaign, the number of hits × 105 is shown. Original Time Series Day 1 2 3 4 5 6 7 8 9 10 Hits × 105 1.3 3.5 4.4 7.2 6.8 8.3 9.0 11.3 13.1 14.7   Test ρ > 0 at the 1% level of significance. (Use 2 decimal places.) t

Asset A will generate a 20% return with probability 0.25; a 15% return with probability 0.50; and a -15% return with probability 0.25. The standard deviation of the return on Asset A is %. Write your answer as a percentage, rounded to 2 decimal places. Example: if the answer is 10.3478%, then write "10.35". Do not type the % sign in your answer.