As an economics class project, Debbie studied a random sample of 14 stocks. For each of these

Question:

As an economics class project, Debbie studied a random sample of 14 stocks. For each of these stocks, she found the cost per share (in dollars) and ranked each of the stocks according to cost. After 3 months, she found the earnings per share for each stock (in dollars). Again, Debbie ranked each of the stocks according to earnings. The way Debbie ranked, higher ranks mean higher cost and higher earnings. The results follow, where x is the rank in cost and y is the rank in earnings.

Using a 0.01 level of significance, test the claim that there is a monotone relation, either way, between the ranks of cost and earnings.
(a) What is the level of significance? State the null and alternate hypotheses.
(b) Compute the sample test statistic.
(c) Find or estimate the P-value of the sample test statistic.
(d) Conclude the test.
(e) Interpret the conclusion in the context of the application.

Stocks
Stocks or shares are generally equity instruments that provide the largest source of raising funds in any public or private listed company's. The instruments are issued on a stock exchange from where a large number of general public who are willing...