A Trading Magazine Wants to Determine the Number of Hours

question 87

Multiple Choice

A trading magazine wants to determine the number of hours stockbrokers work each week. In particular, the trading magazine wants to determine if the median numbers worked per week differs from 100 hours. The magazine samples 18 traders. For the Wilcoxon signed-rank test, the value of the test statistic is T = T⁺ = 153. Which of the following are the competing hypotheses to determine if the median number of hours worked per week differs from 100 hours?

• A) H₀: m ≤ 100; H_A: m > 100
• B) H₀: m ≥ 100; H_A: m < 100
• C) H₀: m ≠ 100; H_A: m = 100
• D) H₀: m = 100; H_A: m ≠ 100

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Definitions:

Par-value Share

A type of stock with a nominal face value that companies define in their corporate charter.

Debenture

An acknowledgment of debts by a corporation normally involving more than one creditor; often used interchangeably with “bond,” but whereas a bond is typically secured against a specific asset, a debenture may be unsecured or secured by a floating charge against inventory.

Commonly Used

Refers to something widely adopted or practiced by a large number of people or within numerous contexts.

Bond

A share interest in the indebtedness of a corporation; often used synonymously with “debenture,” though a bond is normally secured against specific assets, while a debenture is likely not.