19 Descriptive statistics for the closing stock prices of two companies for several trading periods are shown below. Company A Mean 4.04 Standard Error 0.12 Median 4.37 Mode 3.59 Standard Deviation...


19


Descriptive statistics for the closing stock prices of two companies for several trading periods are shown below.


Company A























































Mean4.04
Standard Error0.12
Median4.37
Mode3.59
Standard Deviation1.17
Sample Variance1.38
Kurtosis
−1.1

Skewness0.24
Range4.88
Minimum2.00
Maximum6.88
Sum416.05
Count103


Company B























































Mean16.41
Standard Error0.21
Median17.03
Mode16.59
Standard Deviation2.32
Sample Variance5.38
Kurtosis9.1
Skewness
−2.45

Range12.37
Minimum6.29
Maximum18.66
Sum1,919.63
Count117




(a)


Which company's stock price has a more dispersed distribution? Explain. Show your complete work and support your answer. (Round your numerical answers to two decimal places.)

The coefficient of variation for company A is  %, while the coefficient of variation for company B is  %. Therefore, the stock prices for  ---Select--- company A company B show a more dispersed distribution.




(b)


Compare the skewness of the two and explain what is indicated.

Since the skewness of company A is positive, its data is skewed to the  ---Select--- left right . Since the skewness of company B is negative, its data is skewed to the  ---Select--- left right .




Jun 08, 2022
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