2. Taking the assumptions in 2. for granted, compute the following confidence intervals for : 90%-, 95%-, and 99%-confidence interval.

B Interpret the confidence intervals in 4. What can you conclude with respect to the (unknown) true population mean of analysts recommendation?

C. Compute the 95%-confidence interval for , again, this time relying on the rule of thumb (see lecture slides). Is this interval very different from the 95%-confidence interval computed in 4.?

A B D 4 Buy-Hold-Sell Recommendation BUY STRONG BUY HOLD HOLD HOLD BUY HOLD UNDERPERFORM HOLD HOLD 5 Analyst Name 6 FREIDMAN P 7 REICH G 8 WHITLOW W 9 RIXE L 10 N/A 11 MUSSER P 12 THADHANI A 13 RUBEL H 14 MODZELEWSKI J 15 BINDER S 16 N/A 17 MUSSER P 18 HACKENBURG F 19 PEIRCE j 20 N/A 21 SIMON J 22 PIZZIMENTI D 23 EARLE 24 ASERITIS P 25 ASERITIS P 26 PEIRCE J 27 WHITLOW W 28 SIMON j 29 OBOLENSKY | 30 N/A 31 RIXE L 32 N/A 33 N/A 34 OBOLENSKY | 35 FREIDMAN 36 BINDER S 37 RIXE L 38 CAMPBELL j 39 N/A 40 DEMISCH w 41 N/A 42 OBOLENSKY | STRONG BUY SELL HOLD STRONG BUY STRONG BUY HOLD HOLD STRONG BUY HOLD BUY HOLD STRONG BUY BUY HOLD BUY SELL STRONG BUY STRONG BUY BUY UNDERPERFORM BUY HOLD BUY BUY BUY SELL HOLD A B D 4 Buy-Hold-Sell Recommendation BUY STRONG BUY HOLD HOLD HOLD BUY HOLD UNDERPERFORM HOLD HOLD 5 Analyst Name 6 FREIDMAN P 7 REICH G 8 WHITLOW W 9 RIXE L 10 N/A 11 MUSSER P 12 THADHANI A 13 RUBEL H 14 MODZELEWSKI J 15 BINDER S 16 N/A 17 MUSSER P 18 HACKENBURG F 19 PEIRCE j 20 N/A 21 SIMON J 22 PIZZIMENTI D 23 EARLE 24 ASERITIS P 25 ASERITIS P 26 PEIRCE J 27 WHITLOW W 28 SIMON j 29 OBOLENSKY | 30 N/A 31 RIXE L 32 N/A 33 N/A 34 OBOLENSKY | 35 FREIDMAN 36 BINDER S 37 RIXE L 38 CAMPBELL j 39 N/A 40 DEMISCH w 41 N/A 42 OBOLENSKY | STRONG BUY SELL HOLD STRONG BUY STRONG BUY HOLD HOLD STRONG BUY HOLD BUY HOLD STRONG BUY BUY HOLD BUY SELL STRONG BUY STRONG BUY BUY UNDERPERFORM BUY HOLD BUY BUY BUY SELL HOLD