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A share tipping service claims that its selections give an average return of 10% if held for 12 months. An investor wants to investigate this claim and records the returns of the last 20 shares that have met the 12 month period. The sample mean return is 9% and the standard deviation is 2.5%. You can assume that the return from the shares that the company tips has a normal distribution.
i) Construct a suitable hypothesis test for this investigation.
ii) Test whether you would reject the null hypothesis at the 0.05 significancelevel and comment on your result.
Please do not use excel functions - I would like to see clear workings and commentary for calculations
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What is the probability of making a Type II error if the population mean is 24,000 miles?
Find the probability of winning jackpot?
Standardize the value according to the given average and SD - unstandardize the value according to the given average and SD
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