Descriptive Statistics for the Closing Stock Prices of Two Companies

question 28

Essay

Descriptive statistics for the closing stock prices of two companies for several trading periods are shown below.
$\begin{array} { l }\text { Baba, Inc. }&\text { Maman, Inc. } \\\begin{array}{lr}\hline \text { Mean } & 4.04 \\\text { Standard Error } & 0.11 \\\text { Median } & 4.07 \\\text { Mode } & 3.59 \\\text { Standard Deviation } & 1.13 \\\text { Sample Variance } & 1.28 \\\text { Kurtosis } & -1.10 \\\text { Skewness } & 0.04 \\\text { Range } & 3.98 \\\text { Minimum } & 2.00 \\\text { Maximum } & 5.98 \\\text { Sum } & 416.05 \\\text { Count } & 103\\\hline \end{array}&\begin{array}{lr}\hline \text { Mean } & 16.41 \\\text { Standard Error } & 0.22 \\\text { Median } & 16.83 \\\text { Mode } & 16.59 \\\text { Standard Deviation } & 2.34 \\\text { Sample Variance } & 5.48 \\\text { Kurtosis } & 9.10 \\\text { Skewness } & -2.85 \\\text { Range } & 12.57 \\\text { Minimum } & 6.29 \\\text { Maximum } & 18.86 \\\text { Sum } & 1919.63 \\\text { Count } & 117\\\hline \end{array}\\\end{array}$

a. Which company's stock price has a more dispersed distribution? Explain. Show your complete work and support your answer.
b. Compare the Skewness of the two and explain what is indicated.

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Definitions:

Mental Processes

Mental processes involving thought, logic, and the ability to solve problems.

Wilhelm Wundt

Considered the father of modern psychology, he established the first psychology laboratory in Leipzig, Germany, in 1879.

Psychologists

Professionals specialized in the study of the mind and behavior, often dealing with the assessment and treatment of mental health issues.

Humanistic Psychology

A psychological perspective that emphasizes the study of the whole person, looking at human behavior not only through the eyes of the observer but also through the eyes of the individual experiencing it.