To Estimate the Ratio of the Population Variances of the Monthly

question 43

Short Answer

To estimate the ratio of the population variances of the monthly closing stock prices (in $)of two emerging market funds,following summary measures are obtained using the sample data for 8 months.The two samples are drawn independently from normally distributed populations.
Emerging market fund 1: = 18.65, = 0.47,and n₁ = 8
Emerging market fund 2: = 17.95, = 0.24,and n₂ = 8
Construct a 90% interval estimate of the ratio of the population variances.

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Definitions:

Discount Rate

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A global economic downturn that began in 2007 with the collapse of the housing bubble in the US, leading to widespread financial and economic crises.

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