Dividend Yield: Australian Bank Stocks Let x be a random variable representing dividend yield of Australian bank stocks. We may assume that x has a normal distribution with s 5 2.4%. A random sample of 10 Australian bank stocks gave the following yields.

5.7 4.8 6.0 4.9 4.0 3.4 6.5 7.1 5.3 6.1 The sample mean is x 5 5.38%. For the entire Australian stock market, the mean dividend yield is m 5 4.7% (Reference: Forbes). Do these data indicate that the dividend yield of all Australian bank stocks is higher than 4.7%? Use a 5 0.01.

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