Two Samples,each with N = 8,produce an Independent-Measures T Statistic

question 65

Multiple Choice

Two samples,each with n = 8,produce an independent-measures t statistic of t = -2.15.Which of the following decisions is justified for a two-tailed test?

• A)Reject H0 with α = .05 but fail to reject with α = .01
• B)Reject H0 with both α = .05 and α = .01
• C)Fail to reject H0 with both α = .05 and α = .01
• D)Fail to reject H0 with α = .05 but reject H0 with α = .01

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Definitions:

Systematic Risk

The danger that applies to the whole market or a section of the market, which cannot be mitigated by diversifying investments.

Risk Premium

The additional return expected by an investor for taking on a higher risk compared to a risk-free asset.

Total Risk

The complete range of uncertainties including market, credit, liquidity, and operational risks that can affect the performance and valuation of investments.

Portfolio Concentration

The over-representation of a particular asset class, sector, or stock within an investment portfolio, leading to heightened risk.