Financial Analyst
a Financial Analyst Is to Estimate the Difference

question 40

Essay

Financial analyst
A financial analyst is to estimate the difference in the average return-on-equity for two industry groups,bank and bank holding companies and nonblank financial companies.The sample data obtained: $$\begin{array} { | c | c | } \hline \text { Bank } & \text { Nonblank } \\\hline n _ { 1 } = 32 & n _ { 2 } = 31 \\\bar { x } _ { 1 } = 13.10 & \bar { x } _ { 2 } = 9.90 \\s _ { 1 } ^ { 2 } = 23.80 & s _ { 2 } ^ { 2 } = 102.57 \\\hline\end{array}$$
-If a 98% confidence interval for the true difference in means is (-1.49,7.89)what can you conclude about a hypothesis test for H₀: $\mu _ { 1 } = \mu _ { 2 }$ at the 0.02 level?

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Definitions:

Economic Analysis

The systematic examination of economic data, policies, or conditions to understand or predict economic performance and outcomes.

Public Choice Theory

A field of economics that studies how economic decisions and policies are influenced by the behavior and incentives of individuals and institutions within the public sector.

Legislation

The process of making or enacting laws by a governing body or legislative authority.

Voting Patterns

Refers to the trends and tendencies in how different groups of people vote in elections, influenced by factors such as demographics, socioeconomic status, and political beliefs.