In examining the historical difference between two investments, the total return form each investment was recorded over the last 10 reporting periods. The restults were:

You are told that the data is paired for each period. Assuming the investment returns are normally distributed, can we conclude that the average rate of return for investment A is greater than the average return for investment B at the 5% level of significance?

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Period 1 Investment A 9.5 Investment B 6.0 2 9.2 7.2 3 10.1 5.9 4 4.0 0.6 Total Return (%) 5 8.5 12.6 6 7 8 13.5 12.4 8.8 10.8 13.0 8.3 9 8.4 7.8 10 3.6 3.1 Period 1 Investment A 9.5 Investment B 6.0 2 9.2 7.2 3 10.1 5.9 4 4.0 0.6 Total Return (%) 5 8.5 12.6 6 7 8 13.5 12.4 8.8 10.8 13.0 8.3 9 8.4 7.8 10 3.6 3.1

Answer rating: 100% (QA)

Null Hypothesis Ho 12 Alternative Hypothesis Ha 12 The population a... View the full answer