In Testing the Difference Between the Means of Two Normally

question 33

Multiple Choice

In testing the difference between the means of two normally distributed populations,the number of degrees of freedom associated with the unequal-variances t-test statistic usually results in a non-integer number.It is recommended that you:

• A)round to the nearest integer.
• B)change the sample sizes until the number of degrees of freedom becomes an integer.
• C)assume that the population variances are equal,and then use df = n₁ + n₂ − 2.
• D)None of these choices.

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Definitions:

Gross Trading Profit

The total profit from trading activities before deducting expenses and taxes.

Inside Quotes

The highest bid and lowest ask prices among all market makers in a particular stock, representing the most competitive prices at which you can buy or sell.

Limit Order Book

A record of all the outstanding buy and sell orders for a particular security or financial instrument, organized by price level.

Bid and Ask Prices

The bid price is the highest price a buyer is willing to pay for a security, while the ask price is the lowest price a seller is willing to accept.