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The distribution of age for a female shareholder is assumed to be normally dis- tributed. The New York Stock Exchange recently reported that the average
The distribution of age for a female shareholder is assumed to be normally dis- tributed. The New York Stock Exchange recently reported that the average age of a female shareholder in the U.S. is 44 years. A broker in Vancouver wants to know whether this figure applies to the female shareholders in Vancouver. The broker secures a master list of shareholders in Vancouver and takes a random sample of 58 women. Suppose the average age for shareholders in the sample is 45.1 years, with a population standard deviation of 8.7 years. Determine whether the broker's sample data differ significantly enough from the 44-years figure released by the New York Stock Exchange to declare that female share- holders in Vancouver are different in age from female shareholders in the U.S. Use = 0.05. If no significant difference is noted, what is the broker's proba- bility of committing a Type II error if the average age of a female Vancouver shareholder is actually 45 years? 46 years? 47 years? 48 years? Construct a power curve for these data
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