The table below shows a portion of the returns for Fidelity's Equity Income mutual fund and Vanguard's
Question:
The table below shows a portion of the returns for Fidelity's Equity Income mutual fund and Vanguard's Equity Income mutual fund from 2000 through 2010.
Year................... Fidelity.................... Vanguard
2000....................... 3.88......................... 13.57
2001......................-5.02......................... -2.34
⋮.............................. ⋮............................... ⋮
2010......................15.13......................... 14.88
a. Specify the competing hypotheses to determine whether the median difference between the returns differs from zero.
b. Calculate the value of the Wilcoxon signed-rank test statistic T. Assume normality of T.
c. At the 5% significance level, what is the decision rule?
d. Does the median difference between the returns differ from zero? Explain.
Step by Step Answer:
Business Statistics Communicating With Numbers
ISBN: 9780078020551
2nd Edition
Authors: Sanjiv Jaggia, Alison Kelly