Questions Statistical Concepts
Questions Statistical Concepts
Annual Stock Prices 2003 2004 2005 2006 2007 2008 22% 5% -7% 11% 2% 11%
5 . What is the arithmetic mean return for XYZ stock?a A. 7.3%. B. 8.0%. c. 11.0%. 6. What is the median return for XYZ stock? b A. 7.3%. B. 8.0%. c. 11 .0%. 7. What is the mode of the returns for XYZ stock? A. 7.3%. B. 8.0%. c. 11 .0%. 8. What is the range for XYZ stock returns? c A. 1 1 .0%. B. 22.0%. c. 29.0%. 9. Assuming that the distribution of XYZ stock returns is a population, what is the population variance? c A. 6.8%2 B. 7.7%2. c. 80.2%2. 10. Assuming that the distribution of XYZ stock returns is a population, what is the population standard deviation? b A. 5.02%. B. 8.96%. c. 46.22%. Assuming that the distribution of XYZ stock returns is a sample, the sample variance is closest to: c A. 5.0%2. B. 72.4%2. c. 96.3%2 Assuming that the distribution of XYZ stock returns is a sample, what is the sample standard deviation? a A. 9.8%. B. 72.4%. c. 96.3%. Use the following data to answer Questions 15 and 16. The annual returns for FJW's common stock over the years 2003, 2004, 2005, and 2006 were 15%, 19%, -8%, and 14%. 15. What is the arithmetic mean return for FJW's common stock? A. 10.00%. B. 14.00%. c. 15.25%.
16. What is the geometric mean return for FJW's common stock? a
A. 9.45%. B. 14.21 %. C. It cannot be determined because the 2005 return is negative. 17. A distribution of returns that has a greater percentage of small deviations from the mean and a greater percentage of extremely large deviations from the mean compared to a normal distribution: b A. is positively skewed. B. has positive excess kurtosis. C. has negative excess kurtosis. 18. Which of the following is most accurate regarding a distribution of returns that has a mean greater than its median? a A. It is positively skewed. B. It is a symmetric distribution. C. It has positive excess kurtosis.