Investment Institutions Usually Have Funds with Different Risk Versus Reward

question 96

Multiple Choice

Investment institutions usually have funds with different risk versus reward prospectuses. A trading magazine wants to determine if the returns of high-risk funds is greater than low-risk funds. The magazine records the return of high- and low-risk funds for a sample of 22 institutions. For the Wilcoxon signed-rank test, where D = high-risk return − low-risk return, the value of the test statistic is T = T⁺ = 185. The p-value for the test is ________.

• A) greater than 0.10
• B) between 0.10 and 0.05
• C) between 0.05 and 0.01
• D) less than 0.01