Question

In: Statistics and Probability

a) Submit a copy of your dataset along with a file that contains your answers to...

  1. a) Submit a copy of your dataset along with a file that contains your answers to all of the following questions.

b) What the mean and Standard Deviation (SD) of the Close column in your data set?

c) If a person bought 1 share of Google stock within the last year, what is the probability that the stock on that day closed at less than the mean for that year? Hint: You do not want to calculate the mean to answer this one. The probability would be the same for any normal distribution. (5 points)

  1. If a person bought 1 share of Google stock within the last year, what is the probability that the stock on that day closed at more than $950? (5 points)
  2. If a person bought 1 share of Google stock within the last year, what is the probability that the stock on that day closed within $50 of the mean for that year? (between 50 below and 50 above the mean) (5 points)
  3. If a person bought 1 share of Google stock within the last year, what is the probability that the stock on that day closed at less than $800 per share. Would this be considered unusal? Use the definition of unusual from the course textbook that is measured as a number of standard deviations (5 points)
  4. At what prices would Google have to close in order for it to be considered statistically unusual? You will have a low and high value. Use the definition of unusual from the course textbook that is measured as a number of standard deviations. (5 points)
  5. What are Quartile 1, Quartile 2, and Quartile 3 in this data set? Use Excel to find these values. This is the only question that you must answer without using anything about the normal distribution. (5 points)
  6. Is the normality assumption that was made at the beginning valid? Why or why not? Hint: Does this distribution have the properties of a normal distribution as described in the course textbook? Real data sets are never perfect, however, it should be close. One option would be to construct a histogram like you did in Project 1 to see if it has the right shape. Something in the range of 10 to 12 classes is a good number. (5 points)

DATA SET- Closed stock prices

1044.689941
1077.150024
1080.969971
1089.900024
1098.26001
1070.52002
1075.569946
1073.900024
1090.98999
1070.079956
1060.619995
1089.060059
1116.369995
1110.75
1132.800049
1145.98999
1115.22998
1098.709961
1095.060059
1095.01001
1121.369995
1120.160034
1121.670044
1113.650024

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