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The Null Hypothesis - H0: The random errors will be normally distributed
The Alternative Hypothesis - H1: The random errors are not normally distributed
Reject H0: when P-value ≤ α = 0.05
As the P value is 0.005 it is less than the 0.05 significance level therefore reject H0 and accept H1 as there is sufficient evidence to suggest that random errors are not normally distributed. The assumption of normality is possibly satisfied as the normal probability plot is close to the straight line.
Do people of different age groups differ in their response to e-mail messages? A survey by the Cent of the Digital Future of the University of Southern California reported that 70.
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Exercise: (Binomial and Continuous Model.) Consider a binomial model of a risky asset with the parameters r = 0:06, u = 0:059, d = 0:0562, S0 = 100, T = 1, 4t = 1=12. Note that u
Construct index numbers of price for the following data by applying: i) Laspeyre’s method ii) Paasche’s method iii) Fisher’s Ideal Index number
Replacement times for CD players are normally distributed with a mean of 7.1 years and standard deviation of 1.4years. Find the probability that a randomly selected CD player will
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How vital statistics are affects on our human life
The data in the data frame asset are from Myers (1990), \Classical and Modern Regression with Applications (Second Edition)," Duxbury. The response y here is rm return on assets f
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