Suppose a mutual fund qualifies as having moderate risk if the standard deviation of its monthly rate of return is less than 3%. A mutual-fund rating agency randomly selects 26 months and determines...

Calculate the value of the test statistic.

Determine P value.

Reject or do not reject?

Extracted text: Suppose a mutual fund qualifies as having moderate risk if the standard deviation of its monthly rate of return is less than 3%. A mutual-fund rating agency randomly selects 26 months and determines the rate of return for a certain fund. The standard deviation of the rate of return is computed to be 2.22%. Is there sufficient evidence to conclude that the fund has moderate risk at the a= 0.10 level of significance? A normal probability plot indicates that the monthly rates of return are normally distributed. What are the correct hypotheses for this test? The null hypothesis is Ho: = 0.03 The alternative hypothesis is H,: 0.03 Calculate the value of the test statistic. x2 = (Round to three decimal places as needed.)