SAT Scores for Students Selected Randomly from Two Different Schools

question 17

Essay

SAT scores for students selected randomly from two different schools are shown in the table.At a significance level of 0.05,does the Wilcoxon rank sum test provide evidence of a difference between the two schools? $$\begin{array} {ccc|ccc} &{ \text { School A } } & &&{ \text { School B } } \\\hline 550 & 480 & 670 & 460 & 580 & 620 \\400 & 700 & 520 & 380 & 680 & 570 \\540 & 740 & 560 & 660 & 500 & 480 \\360 & 560 & 650 & & 600 & 550\end{array}$$

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Definitions:

Net Income

The total profit of a company after all expenses and taxes have been deducted from revenue.

Financial Leverage

The use of borrowed funds with the goal to increase the potential return on investment.

Leveraged Firm

A company that uses debt along with equity to finance its assets, often resulting in higher potential returns but also higher risk.

ROE

Return on Equity, a financial ratio indicating the profitability of a corporation in relation to stockholders’ equity, showing how well the company uses investments to generate earnings growth.