The Sampling Distribution For $\hat { p }$ Is Approximately Normal for a Large Sample Size

question 112

True/False

The sampling distribution for $\hat { p }$ is approximately normal for a large sample size $n$ , where $n$ is considered large if both $n \hat { p } \geq 15$ and $n ( 1 - \hat { p } ) \geq 15$ .

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Definitions:

Alpha

In investing, alpha is the measure of an investment's return relative to a benchmark index's performance, representing the value that a portfolio manager adds or subtracts from a fund's return.

Beta

A measure of a stock's volatility in relation to the overall market; a beta greater than 1 indicates greater volatility than the market.

Heterogeneous Expectations

A financial theory assumption that different investors have varied predictions about future market or asset performance.

Holding Period

The duration between the purchase and sale of a security or investment.