An investor believes there is a 5050 chance that a stock will increase on a particular day.

Question:

An investor believes there is a 50€“50 chance that a stock will increase on a particular day. To investigate this idea, for 30 consecutive trading days the investor selects a random sample of 50 and counts the number that increase. The number of in the sample that increased is reported below.

Develop p-chart and write a brief report summarizing your findings. Based on these sample results, is it reasonable that the odds are 50€“50 that a stock will increase? What percent of the stocks would need to increase in a day for the process to be €œout ofcontrol€?

Stocks
Stocks or shares are generally equity instruments that provide the largest source of raising funds in any public or private listed company's. The instruments are issued on a stock exchange from where a large number of general public who are willing...