An analyst would like to construct 95% confidence intervals of the mean returns of two mutual funds.
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An analyst would like to construct 95% confidence intervals of the mean returns of two mutual funds. Fund A is a highrisk fund with a known population standard deviation of 20.6%, whereas the Fund B is a lower-risk fund with a known population standard deviation of 12.8%.
a. What is the minimum sample size required by the analyst if she wants to restrict the margin of error to 4%
for Fund A?
b. What is the minimum sample size required by the analyst if she wants to restrict the margin of error to 4% for Fund B?
c. Why do the above results differ if they use the same margin of error? P-69
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Related Book For
Business Statistics Communicating With Numbers
ISBN: 9780071317610
1st Edition
Authors: Kelly Jaggia
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