Introduction to Basic Statistics Pat Hammett‚ Ph.D. 2005 Instructor Comments: This document contains an overview of basic probability and statistics. It also includes a practice test at the end of the document. Note: answers to the practice test questions are included in an appendix. 1 Pat Hammett University of Michigan Table of Contents 1. VARIABLES- QUALITATIVE AND QUANTITATIVE......................3 1.1 Qualitative Data (Categorical Variables or Attributes) .............
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Statistics – Lab Week 2 Name:Michael Jacks Math221 Statistical Concepts: * Using MINITAB * Graphics * Shapes of Distributions * Descriptive Statistics * Empirical Rule Data in MINITAB * MINITAB is a powerful‚ yet user-friendly‚ data analysis software package. You can launch MINITAB by finding the icon and double clicking on it. After a moment you will see two windows‚ the Session Window in the top half of the screen and the Worksheet or Data Window in the bottom
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product will exceed 40 hours. A company is willing to buy a very large shipment if the claim is true. A random sample of 36 batteries is tested and it is found that the sample mean is 45 hours. If the population of batteries has a standard deviation of 5 hours‚ is it likely that the batteries will be bought? 2. Each student at a university completed a questionnaire concerning the use of advising services. For the entire student body‚ the mean number of visits per year to
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Budget surplus/deficit. There is a huge standard deviation in the data given for GDP. In both 2009 and 2010 the standard deviation was over four and a half times larger than the average of GDP itself. This will make it hard to create general assumptions for all countries to assess whether different factors correlate with each other. Even other factors such as GDP growth have relatively large standard deviations. GDP growth has a very large standard deviation. An example of ambiguous data can be seen
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8 – 23 MERRILL FINCH INC. RISK AND RETURN a. (1) Why is T-bill’s return independent of the state of the economy? Do T-bill’s promise a completely risk-free return? Explain (2) Why are High Tech’s returns expected to move with the economy‚ whereas‚ Collections’ are expected to move counter to the economy? 1. The 5.5% T-bill return does not depend on the state of the economy because the Treasury must redeem the bills at par regardless of the state of the economy; therefore‚ T-bills are
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wanted to ensure that the new coating would not reduce driving distances‚ and would be comparable to the current product. Section II: Relevant Statistical Results Statistic Current Model New Model Sample Mean 270.275 267.500 Standard Error 1.3840 1.5648 Standard Deviation 8.7530 9.8969 Sample Size 40 40 Confidence Level (95%) 2.62 3.14 Degrees of freedom 39 39 t = 1.33 Comparisons 1. A two tail hypothesis test was conducted based on the sample studies of 40 current and 40 new golf balls. The
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Case Study #1 1) In order to calculate the expected return‚ risk premium‚ and standard deviation of the portfolio invested partly in the market and partly in Pioneer‚ we first needed to devise a table with all of the known variables: Table 1 Pioneer Gypsum (X) Market (Y) Expected Return 11.0% 12.5% Standard Dev. 32% 16% Beta 0.65 N/A The calculation of the expected return‚ risk premium and the standard deviation of the portfolio are dependent upon the amount that John wants to invest. For
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India and Indian Bank reported a massive increase in the nonperforming assets that were above 35% in gross magnitude in the same fiscal. Cause for the steep rise in NPA percentage * With a quick rise in the disbursal of restructured loans in the standard category‚ NPA has really risen over the limit although the limiting ratio is not so much alarming. With the net NPA rate standing steady at the 1.5% for public sector banks‚ restructured loans is a matter of primary concern. Moreover‚ the contribution
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The average (mean) annual income was less than $50‚000‚ One-Sample Z: Income ($1000) Test of mu = 50 vs < 50 The assumed standard deviation = 14.64 95% Upper Variable N Mean StDev SE Mean Bound Z P Income ($1000) 50 43.74 14.64 2.07 47.15 -3.02 0.001 α 0.05= -1.645 H0 μ = 50‚000 Ha μ < 50‚000 The hypothesis test claims that the average annual income was less than $50‚000. H0 claims equal
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Introduction to Financial Management Chapter 5 Risk and Rates of Return FIN 254 (Instructor- Saif Rahman) Introduction to Risk and Return Risk and return are the two most important attributes of an investment. Research has shown that the two are linked in the capital markets and that generally‚ higher returns can only be achieved by taking on greater risk. Risk isn’t just the potential loss of return‚ it is the potential loss of the entire investment itself (loss of
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