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The Null Hypothesis - H0: The random errors will be normally distributed
The Alternative Hypothesis - H1: The random errors are not normally distributed
Reject H0: when P-value ≤ α = 0.05
As the P value is 0.043 it is less than the 0.05 significance level therefore reject H0 and accept H1 as there is sufficient evidence to show that random errors are not normally distributed. The assumption of normality is possibly satisfied as the normal probability plot is close to the straight line.
Properties of correlation
PCA is a linear transformation that transforms the data to a new coordinate system such that the greatest variance by any projection of the data comes to lie on the first coordinat
A. Compute descriptive statistics for each stock and the S&P 500. Comment on your results. Which stocks are most volatile?
Definition of Central Tendency The central tendency of a variable means a typical value around which other values tend to concentrate which can be measured. Such concentration
Grouped data For grouped data, the formula applied is σ = Where f = frequency of the variable, μ= population mea
Features of index numbers
HOW WOULD YOU INTERPRET THIS PROBABILITY:P(a)=1.05
A. Do the correlation matrix table. B. Which variable (s) has the largest correlation coeffieient which is not a perfect correlation? C. Which variable (s) has the s
Methods of Forecasting Various techniques which are generally used in business forecasting are as under: 1. Forecasting through the opinion of heads of department
prove that coefficient of correlation lies between -1 and+1
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