The Following Frequency Distribution Shows the Monthly Stock Returns for Home

question 108

Multiple Choice

The following frequency distribution shows the monthly stock returns for Home Depot for the years 2003 through 2007. Over time period,the following summary statistics are provided: Mean = 0.31%,Standard deviation = 6.49%,Skewness = 0.15,and Kurtosis = 0.38.At the 5% confidence level,which of the following is the correct conclusion for the Jarque-Bera test for normality?

• A) Reject the null hypothesis;conclude that monthly stock returnsare normally distributed with mean 0.31% and standard deviation 6.49%.
• B) Reject the null hypothesis;conclude that monthly stock returnsare not normally distributed with mean 0.31% and standard deviation 6.49%.
• C) Do not reject the null hypothesis;conclude that monthly stock returnsare normally distributed with mean 0.31% and standard deviation 6.49%
• D) Do not reject the null hypothesis;conclude that monthly stock returnsare not normally distributed with mean 0.31% and standard deviation 6.49%.

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Definitions:

Rough-And-Tumble Play

A form of play that involves physical activities such as running, tumbling, and play fighting, often observed among children and considered important for social development.

Pretend Play

Imaginative play where children create scenarios and roles, developing their creativity, social skills, and understanding of the world.

Preschoolers

Children who are typically aged between 3 and 5 years old, prior to the commencement of formal schooling.

Overestimate

To estimate or judge something to be larger, greater, or of higher importance than it actually is.