Use the Following to Answer Questions

question 6

Short Answer

Use the following to answer questions :
A random sample of 25 elements selected from a population produced a variance equal to 3.937.Assume that the population is normally distributed.
-Based on this sample,the 95% confidence interval for the population variance,rounded to three decimal places,is:

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Definitions:

Risk Premium

The additional return expected by an investor for holding a risky asset, over and above the risk-free rate.

Semi-Strong Form

A form of the Efficient Market Hypothesis suggesting that stock prices reflect all publicly available information, making it impossible to consistently achieve higher returns.

Strong Form Efficient

A hypothesis stating that all information, both public and private, is completely reflected in stock prices, meaning no investor can achieve higher returns with specific information.

Weak Form Efficient

A market efficiency theory stating that all past trading information is already reflected in stock prices, and that technical analysis cannot consistently produce excess returns.