The Following Table Shows Numerical Summaries of the Worst Quarter

question 80

Essay

The following table shows numerical summaries of the worst quarter returns (in percentages)for a sample of 121 hedge funds.
A)Set up the competing hypotheses for the Jarque-Bera test for normality for the worst quarter returns.
B)Calculate the value of the test statistic and find the p-value.
C)Does the evidence suggest the worst quarter returns do not have a normal distribution at the 5% significance level?

• A)Set up the competing hypotheses for the Jarque-Bera test for normality for the worst quarter returns.
• B)Calculate the value of the test statistic and find the p-value.
• C)Does the evidence suggest the worst quarter returns do not have a normal distribution at the 5% significance level?

---

Definitions:

Financial Policy

A set of guidelines or a framework that directs and governs how a company manages its financial resources, including investment, financing, and dividend policies.

Investment Policies

Guidelines or strategies that govern how an organization or individual allocates resources in investment decisions.

Pro Forma Statement

A financial statement based on hypothetical scenarios or future projections, used for planning purposes.

Sustainable Rate

A concept in environmental and economic policy referring to the level of growth or extraction that can be maintained long term without depleting resources or causing severe ecological damage.