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2. Suppose that we have collected two years of monthly returns data (n=24) on the S&P500 and are testing the null hypothesis that the mean
2. Suppose that we have collected two years of monthly returns data (n=24) on the S&P500 and are testing the null hypothesis that the mean return is equal to 18% versus the alternative that it is not equal to 18%. We are assuming that the population standard deviation is unknown and that the population is normally distributed. We want to perform a test with a 95% confidence level. What is the critical value for the test statistic?
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