Suppose a mutual fund qualifies as having moderate risk if the standard deviation of its monthly rate of return is less than 4%. A mutual-fund rating agency randomly selects 21 months and determines the rate of return for a certain fund. The standard deviation of the rate of return is computed to be 2.63%. Is there sufficient evidence to conclude that the has moderate risk at the a=0.05 level of significance? A normal probability plot indicates that the monthly rates of return are normally distributed. () What are the correct hypotheses for this test? The null hypothesis is Hoo 0.04. The alternative hypothesis is H₁ O <0.04. Calculate the value of the test statistic A x₁ = (Round to two decimal places as needed.).

MATLAB: An Introduction with Applications
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Suppose a mutual fund qualifies as having moderate risk if the standard deviation of its monthly rate of return is less than 4%. A mutual-fund rating agency randomly selects 21
months and determines the rate of return for a certain fund. The standard deviation of the rate of return is computed to be 2.63%. Is there sufficient evidence to conclude that the fund
has moderate risk at the a=0.05 level of significance? A normal probability plot indicates that the monthly rates of return are normally distributed.
***
What are the correct hypotheses for this test?
The null hypothesis is Ho O
= 0.04
The alternative hypothesis is H₁
O <0.04.
Calculate the value of the test statistic.
4
x=(Round to two decimal places as needed.)
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Transcribed Image Text:Suppose a mutual fund qualifies as having moderate risk if the standard deviation of its monthly rate of return is less than 4%. A mutual-fund rating agency randomly selects 21 months and determines the rate of return for a certain fund. The standard deviation of the rate of return is computed to be 2.63%. Is there sufficient evidence to conclude that the fund has moderate risk at the a=0.05 level of significance? A normal probability plot indicates that the monthly rates of return are normally distributed. *** What are the correct hypotheses for this test? The null hypothesis is Ho O = 0.04 The alternative hypothesis is H₁ O <0.04. Calculate the value of the test statistic. 4 x=(Round to two decimal places as needed.) Help me solve this View an example Clear all Check answer + Type here to search O 4:39 PM 6/18/2022 7 R T B Get more help. 0 18 hp 9 a 19 ? 96°F Sunny A
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