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Year Fund X Fund Y You are an amateur investor and are trying to decide between two mutual funds: Fund X & Fund Y. You
Year | Fund X | Fund Y | You are an amateur investor and are trying to decide between two mutual funds: Fund X & Fund Y. You decide to let data guide your decision and extract a sample of the returns from these funds from 1980 through 2020. The data on the returns for each fund can be found at left. Conduct and interpret the appropriate two-sample hypothesis test to determine if there is a significant difference in the mean annual return of these two funds at 95% confidence. Share your results by filling out the appropriate fields below. | |||||||||||||||||
1980 | 37.64 | 19.54 | ||||||||||||||||||
1981 | 12.42 | 2.85 | ||||||||||||||||||
1982 | -17.35 | 7.57 | ||||||||||||||||||
1983 | 59.55 | -12.82 | ||||||||||||||||||
1984 | 49.79 | 14.10 | ||||||||||||||||||
1985 | 22.11 | 3.70 | ||||||||||||||||||
1986 | 35.41 | 3.94 | ||||||||||||||||||
1987 | 2.82 | 1.34 | Step 1: | State the Hypotheses | Step 0: | Identify your variables | ||||||||||||||
1988 | -25.54 | 10.94 | H0: | Independent Variable: | ||||||||||||||||
1989 | 16.02 | 18.97 | HA: | Dependent Variable: | ||||||||||||||||
1990 | 55.76 | 9.98 | Control Variable: | |||||||||||||||||
1991 | 53.15 | 2.35 | Step 2: | Set the Criteria for a Decision | ||||||||||||||||
1992 | 60.86 | 5.22 | tailed test | |||||||||||||||||
1993 | 46.73 | 3.26 | : | |||||||||||||||||
1994 | -28.31 | 10.71 | Critical Value(s): | |||||||||||||||||
1995 | -27.41 | 2.77 | ||||||||||||||||||
1996 | -29.45 | 16.37 | (if multiple please label each in pink boxes) | |||||||||||||||||
1997 | 37.98 | 20.58 | ||||||||||||||||||
1998 | 8.93 | 7.46 | Step 3: | Compute Sample Statistics | ||||||||||||||||
1999 | -21.72 | -10.81 | Test Statistic(s): | |||||||||||||||||
2000 | 57.88 | -5.42 | ||||||||||||||||||
2001 | 20.36 | 16.36 | (if multiple please label each in pink boxes) | |||||||||||||||||
2002 | -9.95 | 12.92 | p = | |||||||||||||||||
2003 | -13.01 | 3.96 | ||||||||||||||||||
2004 | -8.17 | 7.92 | (if multiple please label each in pink boxes) | |||||||||||||||||
2005 | 54.84 | 20.05 | ||||||||||||||||||
2006 | 20.89 | 2.30 | Step 4: | Make a Decision | ||||||||||||||||
2007 | 59.04 | 14.73 | ||||||||||||||||||
2008 | 54.59 | 19.59 | ||||||||||||||||||
2009 | -30.87 | 4.39 | ||||||||||||||||||
2010 | -15.99 | 18.81 | ||||||||||||||||||
2011 | 46.61 | 3.31 | ||||||||||||||||||
2012 | -53.23 | 13.20 | ||||||||||||||||||
2013 | 17.48 | 14.75 | ||||||||||||||||||
2014 | 9.23 | 7.62 | ||||||||||||||||||
2015 | -22.12 | 1.63 | ||||||||||||||||||
2016 | 18.72 | 5.87 | ||||||||||||||||||
2017 | 12.24 | 16.62 | ||||||||||||||||||
2018 | 52.13 | 15.32 | ||||||||||||||||||
2019 | 27.19 | 11.30 | ||||||||||||||||||
2020 | 54.67 | -7.71 |
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