To Determine Whether There Appears to Be a Statistically Significant

question 22

Multiple Choice

To determine whether there appears to be a statistically significant relationship between exposure to pollution and risk of developing tumors he decides to conduct a χ² analysis. Based on the results of this analysis, which of the following is the most appropriate conclusion?

• A) Fish appear to be at a significantly higher risk of tumors in the polluted lake compared to the pristine lake (P < 0.05).
• B) Fish appear to be at a significantly higher risk of tumors in the polluted lake compared to the pristine lake (P > 0.05).
• C) Fish appear to be at a significantly lower risk of tumors in the polluted lake compared to the pristine lake (P < 0.05).
• D) These data do not provide sufficient evidence that the risk of tumors differs in polluted or pristine lakes (P < 0.05).

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Definitions:

Protective Put

An investment strategy that involves buying a put option on a stock one owns, providing downside protection in case the stock's price decreases.

T-bill Rate

The yield or interest rate paid to investors of U.S. Treasury bills, short-term debt instruments issued by the U.S. government.

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The current market price at which a share of a company's stock can be bought or sold.

Black-Scholes Value

A model used to estimate the theoretical price of options and certain other financial instruments.