The Russell 1000 is a stock market index consisting of the largest U.S. companies. The Dow Jones

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The Russell 1000 is a stock market index consisting of the largest U.S. companies. The Dow Jones Industrial Average is based on 30 large companies. The file Russell gives the annual percentage returns for each of these stock indexes for the years 1988 to 2012 (1stock1 website).

a. Plot these percentage returns using a scatter plot.

b. Compute the sample mean and standard deviation for each index.

c. Compute the sample correlation.

d. Discuss similarities and differences in these two indexes.


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Essentials Of Statistics For Business And Economics

ISBN: 9781305081598

7th Edition

Authors: David Anderson, Thomas Williams, Dennis Sweeney, Jeffrey Cam

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