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That is all the information I was given. It says do not solve problem, simply name it or give the appropriate equation. Ons 1. An

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That is all the information I was given. It says do not solve problem, simply name it or give the appropriate equation.
Ons 1. An investment analyst believes that she has found an indicator of soon-to-occur upturns in the stock market (something most of us desperately want to see at this time). She asserts that "only rarely does the market fall with such velocity that the spread between the weekly NYSE index and the 10-week moving average of that same index stretches to more than -4.00 or more. Such a dramatic plunge nearly always has indicated, she asserts, a market that is deeply oversold and ready for either recovery or at least a respite from selling pressure." She calls this the major bottom indicator." Between 1980 and 1994, the major bottom indicator signaled a buy eight times. The performance of these eight major bottom indicators (measured as percentage gain in NYSE index) for two points in time, 4 weeks and 13 weeks after buy, is shown in the table below. If we wanted to know whether it is more profitable to hold the stock 4 weeks or 13 weeks after the buy signal, what equation would you use to assess the 98% confidence interval for the mean difference in percentage gains in the NYSE index for the two time periods? (Do not solve this problem, simply name it or give the appropriate equation.) Buy signal 1 2 3 4 5 Percentage Gain in the NYSE Index 4 weeks after buy 13 weeks after buy 0 11.1 3.0 4.7 18.4 13.5 1.5 55 11.9 7.0 22.1 -2.5 -4.6 19.9 5.4 6 7 8 Answer: 0 & 7 8 9 5 6 3 0 Y U T R E W K Ons 1. An investment analyst believes that she has found an indicator of soon-to-occur upturns in the stock market (something most of us desperately want to see at this time). She asserts that "only rarely does the market fall with such velocity that the spread between the weekly NYSE index and the 10-week moving average of that same index stretches to more than -4.00 or more. Such a dramatic plunge nearly always has indicated, she asserts, a market that is deeply oversold and ready for either recovery or at least a respite from selling pressure." She calls this the major bottom indicator." Between 1980 and 1994, the major bottom indicator signaled a buy eight times. The performance of these eight major bottom indicators (measured as percentage gain in NYSE index) for two points in time, 4 weeks and 13 weeks after buy, is shown in the table below. If we wanted to know whether it is more profitable to hold the stock 4 weeks or 13 weeks after the buy signal, what equation would you use to assess the 98% confidence interval for the mean difference in percentage gains in the NYSE index for the two time periods? (Do not solve this problem, simply name it or give the appropriate equation.) Buy signal 1 2 3 4 5 Percentage Gain in the NYSE Index 4 weeks after buy 13 weeks after buy 0 11.1 3.0 4.7 18.4 13.5 1.5 55 11.9 7.0 22.1 -2.5 -4.6 19.9 5.4 6 7 8 Answer: 0 & 7 8 9 5 6 3 0 Y U T R E W K

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