test this difference‚ we determine the difference between the statistic (the difference between the means)‚ and the hypothesized value for the parameter (0). o if the population variance is known‚ the sampling distribution of differences is normally distributed. o if the population variance is UNKNOWN‚ the sampling distribution of differences is the t distribution‚ for the appropriate degrees of freedom. Assumptions that must be considered: 1. Independence. The samples
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(a) Suppose all distinct assets in the economy have a correlation of ρ = −.02 with every other asset. Let the variance of each asset be 0.25‚ and the investor holds an equally weighted portfolio of these assets. How many of such assets should an investor hold so that the variance of her portfolio is zero? (b) If the correlation was 0.02 can the investor ever achieve a zero variance? (c) For the case that the correlation is 0.4‚ and the investor holds an equally weighted portfolio of 10 assets
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are well defined but some of the possible factors can cause to the deviations and variances. Those possible factors can be eradicated through extra efforts into the process. However the small chances of variance will remain the same because the real business scenarios may vary sometimes than the forecasted one. This report is an attempt to investigate the operational standards and the possible causes of variance in standards and how does it affect customer satisfaction.
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material price and usage variances for the month. Material Price (Standard) | Material X | Material Y | Total Price | Product A | 218‚400 | 35‚700 | 254‚100 | Product B | 280‚800 | 61‚200 | 342‚000 | Total | 499‚200 | 96‚900 | 596‚100 | Material Price (Actual) Material X = 39‚000 @ 12.40 Material Y = 11‚000 @ 8.70 | Material X | Material Y | Total Price | | 483‚600 | 95‚700 | 579‚300 | Difference | 15‚600 | 1‚200 | 16‚800 | Usage Variance Material X = 15‚600
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currently experiencing difficulties with regards to its budgeting process and variance analysis. For the fiscal year 1973‚ the Ice Cream Division has a favorable operating income variance of $71‚700. The President‚ Jim Peterson feels that the comparisons between budgeted results and actual results are not providing adequate information from which to decide whom should be commended for their ability to produce favorable variances‚ but more importantly what improvements need to be implemented‚ where they
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Solutions Manual Econometric Analysis Fifth Edition William H. Greene New York University Prentice Hall‚ Upper Saddle River‚ New Jersey 07458 Contents and Notation Chapter 1 Introduction 1 Chapter 2 The Classical Multiple Linear Regression Model 2 Chapter 3 Least Squares 3 Chapter 4 Finite-Sample Properties of the Least Squares Estimator 7 Chapter 5 Large-Sample Properties of the Least Squares and Instrumental Variables Estimators 14 Chapter 6 Inference and Prediction 19 Chapter 7
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Generating a budget is complex undertaking‚ and for a budget to be effective the organization ought to follow it strictly. However‚ no matter how closely a business follows their guidelines there will always be some form of variances. The organization should expect a few variances and be able to work these discrepancies in any budget constraints. Managing the Budget within the Forecast: According to Finkler‚ Kovner and Jones‚ (2007)‚ organizations exercise control over operations through the use
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Table of Contents Introduction___________________________________________________________3 PART 1: Descriptive Statistics__________________ __________________________5 Defining Important Terms_______________ ___________________________5 Data Analysis of Pay Rate________ _____________________________________6 Data Analysis of Pay Rate vs. Gender¬¬¬¬¬¬¬¬¬¬¬_______________________________________7 Data Analysis of Grade________________ ________________________________9 Data
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a criterion for maximizing the between-class variance of pixel intensity to perform picture thresholding. However‚ Otsu’s method for image segmentation is very time-consuming because of the inefficient formulation of the between-class variance. In this paper‚ a faster version of Otsu’s method is proposed for improving the efficiency of computation for the optimal thresholds of an image. First‚ a criterion for maximizing a modified between-class variance that is equivalent to the criterion of maximizing
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normal random variable: Theorem 1: Suppose Y = ln X is a normal distribution with mean m and variance v‚ then X has mean exp( m + v /2 ) Proof: The density function of Y= ln X Therefore the density function of X is given by Using the change of variable x = exp(y)‚ dx = exp(y) dy‚ We have = Note that the integral inside is just the density function of a normal random variable with mean (m-v) and variance v. By definition‚ the integral evaluates to be 1. Proof of Black Scholes Formula Theorem
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