# Null hypothesis - Testing

A stock analyst wants to determine whether there is a difference in the mean rate of return for

three types of stock: utility, retail, and banking stocks. The following sample information is

collected.

Rates of Return

Utility Retail Banking

14.3 11.5 15.5

18.1 12 12.7

17.8 11.1 18.2

17.3 11.9 14.7

19.5 11.6 18.1

13.2

a. Using the .05 level of significance, is there a difference in the mean rate of return among the

three types of stock?

b. Suppose the null hypothesis is rejected. Can the analyst conclude there is a difference

between the mean rates of return for the utility and the retail stocks? Explain.

https://brainmass.com/statistics/hypothesis-testing/null-hypothesis-testing-47586

#### Solution Summary

The solution contains a detailed analysis of null hypothesis testing. The solution is attached in a zip format.

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