For this assignment, you will practice applying inferential statistical analysis to two business decision scenarios. Complete both
Question:
For this assignment, you will practice applying inferential statistical analysis to two business decision scenarios. Complete both following scenarios.
Practical Application Scenario 1
Refer to the stock you selected in Module 1. Using the same downloaded data, build a 95 percent confidence interval for the daily stock volume using Target (TGT) last five year of historical data. What does this confidence interval mean? Why might decision makers be interested in such an interval?
Practical Application Scenario 2
To complete this scenario, use the Sample Size Estimator file provided in Resources.
For the stock you selected in Module 1, what size sample would you need to bracket the adjusted daily closing price within 50 cents (for example, a margin of error of 50 cents)? Use the standard deviation from your data for your calculations, and assume this standard deviation represents the population standard deviation.
Fundamental Managerial Accounting Concepts
ISBN: 978-1259569197
8th edition
Authors: Thomas Edmonds, Christopher Edmonds, Bor Yi Tsay, Philip Olds