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The financial industry Earnings average per share last year were $3. This year, earnings per share in 10 financial companies were as follows.

  1. The financial industry Earnings average per share last year were $3. This year, earnings per share  in 10 financial companies were as follows. Test the hypothesis that this year’s earnings differ (higher or lower) from last year – two tail, at alpha (significance level) =.01

Data 1.92, 2.16, 3.63, 3.16, 4.10, 3.14, 2.20, 2.34, 3.10, 2.38

a. Hypothesis being tested is Mean=3 . is it one or two tails?

  1. Critical Value T or Z
  2. What is the appropriate
  3. Statistical conclusion
  4. Practical conclusion

 

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