Suppose You Want to Determine If the Quarterly Returns for Mutual

question 59

Multiple Choice

Suppose you want to determine if the quarterly returns for mutual funds have a normal distribution using quantitative summary statistics.The most appropriate test is the _________________________________.

• A) goodness-of-fit test for a multinomial experiment
• B) chi-square test for independence
• C) goodness-of-fit test for normality
• D) Jarque-Bera test for normality

---

Definitions:

Pseudoscience

Claims, beliefs, or practices presented as scientific but lacking empirical evidence or falsifiability, not adhering to the scientific method.

Testable Explanation

A hypothesis or theory that can be put to the test, designed to explain phenomena in the natural world.

Hypothesis

An initial hypothesis put forward to explain a phenomenon that serves as a basis for further study and can be verified by experimental and observational means.

Scientific Theory

A well-substantiated explanation of some aspect of the natural world, based on a body of evidence and repeatedly tested hypotheses.