A stock market analyst claims that seven of the stocks that make up the Dow Jones Industrial

Question:

A stock market analyst claims that seven of the stocks that make up the Dow Jones Industrial Average lost value from one hour to the next on one business day. The table shows the prices (in dollars per share) of the seven stocks at one time during the day and then an hour later. At α = 0.01, is there enough evidence to support the analyst’s claim?

2 Stock 3 4 5 6 Price (first hour) 31.46 35.57 64.26 68.11 174.53 92.85 183.72 Price (second hour) 182.85 35.65 93.19 31

(a) Identify the claim and state H₀ and H_a,

(b) Find the critical value(s) and identify the rejection region(s),

(d) Find the standardized test statistic t,

(e) Decide whether to reject or fail to reject the null hypothesis, and

(f ) interpret the decision in the context of the original claim. Assume the samples are random and dependent, and the populations are normally distributed.

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...

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