Roenfeld Corp believes the following probability distribution exists for its stock. What is the coefficient of variation on the
1 answer:
Complete question is attached;
Answer:
Option D: 0.3069
Step-by-step explanation:
Formula for coefficient of variation on the company's stock is;
CV = σ/E(r)
Where σ is the standard deviation and E(r) is expected value of return.
From the attached image, we can find E(r) as;
E(r) = 0.45(25) + 0.5(15) + 0.05(5)
E(r) = 19%
From online calculation, the standard deviation is 5.83%
Thus;
CV = 5.831/19
CV ≈ 0.3069
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Answer:
<em>H</em>₀: <em>μ₁ = μ₂= μ₃</em>
<em>Hₐ: </em>At least one of the means is different.
Step-by-step explanation:
Analysis of variance or ANOVA test is used to determine whether the means of different groups are similar or not.
The hypothesis of an ANOVA test for <em>n</em> homogeneous groups is:
In this case the researcher is testing whether the mean bone mineral density is different for the three different groups.
The hypothesis for this test can be defined as follows:
<em>H</em>₀: The mean bone mineral density is not different for the three different groups, i.e. <em>μ₁ = μ₂= μ₃</em>
<em>Hₐ: </em>The mean bone mineral density is different for the three different groups, i.e. at least one of the means is different.