During a20-year period,that standard deviation of annual returns on a portfolio John is analyzingwas8percent.Hesuspected that the portfolio's underlying variance of return was less than100basis points.He would like to construct a hypothesis test to validate his judgment.

Question A:Formulate null and alternative hypothesis.

Question B:Calculate the value of test statistic for conducting the test in part (a).

Question C:Identify the rejection point or points at the5%significance level for the hypothesis in part(a).