Explore BrainMass

# Sample Distribution - New York Stock Exchange

Not what you're looking for? Search our solutions OR ask your own Custom question.

This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

This question has to deal with the sampling distribution of the sample mean.
Please see attached file for full problem description.

Suppose that the percentage returns for a given year for all stocks listed on the New York Stock Exchange are approximately normally distributed with a mean of 12.4% and a standard deviation of 20.6%. Consider drawing a random sample of n=5 stocks from the population of all stocks and calculating the mean return, &#61536;x, of the sampled stocks. Find the mean and the standard deviation of the sampling distribution of &#61536;x, and find an interval containing 95.44% of all possible sample mean returns.

© BrainMass Inc. brainmass.com March 4, 2021, 8:09 pm ad1c9bdddf
https://brainmass.com/statistics/sampling/sample-distribution-new-york-stock-exchange-148959

#### Solution Summary

Suppose that the percentage returns for a given year for all stocks listed on the New York Stock Exchange are approximately normally distributed with a mean of 12.4% and a standard deviation of 20.6%. Consider drawing a random sample of n=5 stocks from the population of all stocks and calculating the mean return, &#61536;x, of the sampled stocks. Find the mean and the standard deviation of the sampling distribution of &#61536;x, and find an interval containing 95.44% of all possible sample mean returns.

\$2.49