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Confidence interval for mean weekly return

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Reference no: EM133265596

A sample of 36 weekly observations of the FTSE 100 index returns has a mean of 0.005 and a standard deviation of 0.02.

1. Calculate a 95% confidence interval for the mean weekly return.

2. How large a sample is required to estimate the mean weekly return to within a maximum error bound of ±0.004 (0.4%)?

3. Do we need to assume that the weekly returns follow a normal distribution?

Reference no: EM133265596

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