With reference to Example 14 4, use the theory of Exercise 14 22 to test the null hypothesis Icirc plusmn 21 50 against the alternative hypothesis Icirc plusmn 21 50 at the 0 01 level of significance In exercise Use the result of part(b) of exercise 14 20 to show that Is a value of a random variabl...

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With reference to Example 14.4, use the theory of Exercise 14.22 to test the null hypothesis Î±

Question:

With reference to Example 14.4, use the theory of Exercise 14.22 to test the null hypothesis Î± = 21.50 against the alternative hypothesis Î± ‰ 21.50 at the 0.01 level of significance.
In exercise
Use the result of part(b) of exercise 14.20 to show that

Is a value of a random variable having the standard normal distribution. Also, use the first part of Theorem 14.3 and the fact that A and nˆ‘2/Ïƒ2 are independent to show that

Is a value of a random variable having the t distribution with n €“ 2 degrees of freedom.

Distribution
The word "distribution" has several meanings in the financial world, most of them pertaining to the payment of assets from a fund, account, or individual security to an investor or beneficiary. Retirement account distributions are among the most...