An economist wants to determine whether average Price/Earnings (P/E) ratios differ for firms in three industries. Independent
Question:
An economist wants to determine whether average Price/Earnings (P/E) ratios differ for firms in three industries. Independent samples of five firms in each industry show the following results:
a. Construct an ANOVA table. Assume that P/E ratios are normally distributed.
b. At the 5% significance level, determine whether average P/E ratios differ in the threeindustries.
Transcribed Image Text:
Industry A Industry B Industry C 12.19 12.44 7.28 9.96 10.51 0.48, s 4.32 14.34 17.80 9.32 14.90 9.41 X813.15, s13.69 26.38 24.75 16.88 16.87 16.70Xc 20.32, s2 23.30 Grand Mean: X 14.65
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 80% (15 reviews)
a Source of Variation SS df MS F p value F crit Between Group...View the full answer
Answered By
JAPHETH KOGEI
Hi there. I'm here to assist you to score the highest marks on your assignments and homework. My areas of specialisation are:
Auditing, Financial Accounting, Macroeconomics, Monetary-economics, Business-administration, Advanced-accounting, Corporate Finance, Professional-accounting-ethics, Corporate governance, Financial-risk-analysis, Financial-budgeting, Corporate-social-responsibility, Statistics, Business management, logic, Critical thinking,
So, I look forward to helping you solve your academic problem.
I enjoy teaching and tutoring university and high school students. During my free time, I also read books on motivation, leadership, comedy, emotional intelligence, critical thinking, nature, human nature, innovation, persuasion, performance, negotiations, goals, power, time management, wealth, debates, sales, and finance. Additionally, I am a panellist on an FM radio program on Sunday mornings where we discuss current affairs.
I travel three times a year either to the USA, Europe and around Africa.
As a university student in the USA, I enjoyed interacting with people from different cultures and ethnic groups. Together with friends, we travelled widely in the USA and in Europe (UK, France, Denmark, Germany, Turkey, etc).
So, I look forward to tutoring you. I believe that it will be exciting to meet them.
3.00+
2+ Reviews
10+ Question Solved
Related Book For
Essentials Of Business Statistics Communicating With Numbers
ISBN: 9780078020544
1st Edition
Authors: Sanjiv Jaggia, Alison Kelly
Question Posted:
Students also viewed these Statistics questions
-
An economist wants to determine whether the Price/Earnings (P/E) ratio is the same for firms in three industries. Five firms were randomly selected from each industry. Their P/E ratios are shown in...
-
An economist wants to determine the relation between ones FICO score, x, and the interest rate of a 36-month auto loan, y. The given data represent the interest rate (in percent) a bank would offer...
-
Assume that female students heights are normally distributed with a mean given by = 64.2 in. and a standard deviation given by = 2.6 in. If one female student is randomly selected, find the...
-
Assume that on July 1, 2014, Big Corp. loaned little Corp. $12,000 for aperiod of one year at 6percent interest. What amount of interest revenue will big report for 2014? What amount of cash will big...
-
Agate Marketing Inc. intends to distribute a new product. It is expected to produce net returns of $15 000 per year for the first four years and $10 000 per year for the following three years. The...
-
Q.6. Water flowing at 1.5 L/s in a 0.05m diameter tube is metered by means of a simple orifice of diameter 0.025m. If coefficient of discharge is 0.62, what will be the reading on a...
-
Millions of high school graduates decide annually to enroll in a college or university. Many factors can influence a students choice of where to enroll. List the five steps of the decision-making...
-
Tofias Corporation recently hired a new accountant with extensive experience in accounting for partnerships. Because of the pressure of the new job, the accountant was unable to review what he had...
-
Retained Earnings Balance (before Net Income) Paid-in Capital in Excess of Par Totals 80,690 82,690 $12,352,970 $12,352,970 -/50 !!! Prepare a balance sheet at December 31, 2025, for Novak...
-
A store maintains data on customers, products and purchase records in three tables: CUSTOMER, PRODUCT, PURCHASE. The store manager wants to know which product is on its maximum discount for each...
-
A government agency wants to determine whether the average salaries of four various kinds of transportation operators differ. A random sample of five employees in each of the four categories yields...
-
The manager of an SAT review program wonders whether average SAT scores differ depending on the ethnicity of the test taker. Thirty test scores for four ethnicities are collected. A portion of the...
-
Which of the following statements is true. Javafx ____________. A. Is difficult to use B. Cannot incorporate video, sound, or web content C. Separates the ui from the application logic D. Does not...
-
Why do managers at all levels need to be familiar with the organizations strategic plan?
-
Explain the risk-adjusted discount rate (RADR) method for incorporating risk in the capital investment decision process.
-
Describe how the following types of revenue are reported on the income statement: (a) discounts from charges, (b) charity care, and (c) bad debt losses.
-
According to a 2018 article in the Wall Street Journal, proposed tariffs on imported steel could cause the price to consumers of new cars to increase by as much as $300. Use a graph to illustrate the...
-
What is the primary difference between strategic and operating plans?
-
Describe the components of in a PV system. a. PV cells b. Inverters c. Batteries d. Charge controllers
-
1. What are some current issues facing Saudi Arabia? What is the climate for doing business in Saudi Arabia today? 2. Is it legal for Auger's firm to make a payment of $100,000 to help ensure this...
-
If there is a 0.9 probability that it will rain sometime today, then there is a probability of 0.1 that it will not rain sometime today. For Exercises 510, decide whether the statement makes sense...
-
The following histogram summarizes Apple Inc.s monthly stock price for the years 2014 through 2018. a. Is the distribution symmetric? If not, is it positively or negatively skewed? b. Over this...
-
The accompanying table shows a portion of the daily price index for the Dow Jones Industrial Average (DJIA) for the first half of 2019. a. Construct the frequency distribution and the histogram for...
-
The following histogram summarizes the salaries (in $100,000s) for the 30 highest-paid portfolio managers at a large investment firm over the past year. a. Is the distribution symmetric? If not, is...
-
Using the following information: a. The bank statement balance is $3,048. b. The cash account balance is $3,300. c. Outstanding checks amount to $755. d. Deposits in transit are $809. e. The bank...
-
Determine the average tax rate and the marginal tax rate for each of the following instances: Use the Tax Tables for taxpayers with taxable income under $ 1 0 0 , 0 0 0 and the Tax Rate Schedules for...
-
A machine was bought on 1 st January 2 0 1 7 for $ 1 2 , 0 0 0 . The policy is to depreciate the machine at 1 0 % on reducing balance method at the end of each year, ending on 3 1 st December....
Study smarter with the SolutionInn App