$1.00 bus 3059 wk3, a2
Calculate the return on equity (ROE) for a sample of 20 banks for the
year before the Sarbanes-Oxley Act was enacted. For the same sample of banks,
calculate the ROE for the year following the enactment of the Sarbanes-Oxley
Then, answer the following questions:
- Was the average bank’s ROE lower following the enactment of the
Sarbanes-Oxley Act than before the act? If so, why do you think that was the
- What’s the null hypothesis for this hypothesis test?
- What’s the alternative hypothesis for this hypothesis test?
- Choose at least three different significant levels to conduct the
hypothesis test. Is it possible that a Type I error occurred with the hypothesis
test? Why or why not?
- Is it possible that a Type II error occurred? Why or why not?
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- Posted on Jan. 25, 2013 at 03:36:32AM
BUS 3059 Week-3 Assignment -2 Hypothesis Testing.doc (72K) (Preview)