The average daily volume of a computer stock in 2011 was muμequals=35.135.1 million shares, according to a reliable source. A stock analyst believes that the stock volume in 2014 is different from the 2011 level. Based on a random sample of 4040 trading days in 2014, he finds the sample mean to be 31.731.7 million shares, with a standard deviation of sequals=14.114.1 million shares. Test the hypotheses by constructing a 9595% confidence interval.
Inverse Normal Distribution
The method used for finding the corresponding z-critical value in a normal distribution using the known probability is said to be an inverse normal distribution. The inverse normal distribution is a continuous probability distribution with a family of two parameters.
Mean, Median, Mode
It is a descriptive summary of a data set. It can be defined by using some of the measures. The central tendencies do not provide information regarding individual data from the dataset. However, they give a summary of the data set. The central tendency or measure of central tendency is a central or typical value for a probability distribution.
Z-Scores
A z-score is a unit of measurement used in statistics to describe the position of a raw score in terms of its distance from the mean, measured with reference to standard deviation from the mean. Z-scores are useful in statistics because they allow comparison between two scores that belong to different normal distributions.
The average daily volume of a computer stock in 2011 was
million shares, according to a reliable source. A stock analyst believes that the stock volume in 2014 is different from the 2011 level. Based on a random sample of
trading days in 2014, he finds the sample mean to be
million shares, with a standard deviation of
million shares. Test the hypotheses by constructing a
confidence interval.
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