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The central limit theorem states that, for any distribution as the sample size becomes larger the sampling distribution:

Using the regression output what is the model’s prediction of unemployment in August 2015, in the 7th month of the first year?The unemployment rate is estimated using the following model:URt= b0 + b1t+ €tUsing monthly observations from January 2015 to December 2019 you estimate the following.  Regression Statistics R Squared 0.9314 Standard Error 0.1405 Observations 60 Durbin-Watson 0.9099   Coefficients Standard Error t Stat Intercept 5.5098 0.0367 150.03 Trend -0.0294 0.001 -28.07

In the following table Ri is the return on stock i and Rm is the return on market. The estimate of βi is closest to: t Ri Rm (Rm-Rmbar)^2 error^2 Rm^2 1 0.080 0.100 5.625E-05 0.0000 0.01 2 -0.040 0.130 0.000506 0.0005 0.0169 3 0.040 0.120 0.000156 0.0007 0.0144 4 0.130 0.080 0.000756 0.0001 0.0064 Total 0.21000 0.43000 0.001475 0.0013 0.0477 Mean 0.05250 0.10750 variance 0.00516 0.00049 covariance -0.00153   SEE 0.02535

Consider the following information on two securities Expected rate of return on Security Ri   = 0.10                             Expected rate of return on Security Rj    = 0.20 Variance of ROR of security Ri      =  0.16 Variance of ROR of security Rj      = 0.25Covariance between Ri and Rj = -0.04What is the threshold coefficient of correlation above which diversification will not be possible?

What test will you use for the following hypothesis and what would the z-statistics of 1.72 tell you about the hypothesis with z-test and at 5% level of significance?Ho: R ≤ 0     Ha: R > 0

Calculate a 95% confidence interval for a portfolio return with a normal distribution for returns. The mean return is 10% and the standard deviation is 10%

Consider thefollowing information on two securities Expected rate of return on Security Ri   = 0.10           Expected rate of return on Security Rj  = 0.20 Variance of ROR of security Ri      =  0.16                       Variance of ROR of security Rj      = 0.25Covariance between Ri and Rj = -0.04The investment fraction in security “i” to obtain the Global Minimum Variance portfolio is:

The appropriate test statistics for testing of the equality of the means of two normally distributed independent populations follows a:

You conduct a two-tailed z-test to determine if the returns on your portfolio are significantly different from 10%. The sample size was 200 and the computed z-statistic is 2.3. You are using a 5% level of significance. Which of the following statement is most accurate

In the following table Ri is the return on stock i and Rm is the return on market. The estimate of the systematic risk of security i is closest to: t Ri Rm (Rm-Rmbar)^2 error^2 Rm^2 1 0.080 0.100 5.625E-05 0.0000 0.01 2 -0.040 0.130 0.000506 0.0005 0.0169 3 0.040 0.120 0.000156 0.0007 0.0144 4 0.130 0.080 0.000756 0.0001 0.0064 Total 0.21000 0.43000 0.001475 0.0013 0.0477 Mean 0.05250 0.10750 variance 0.00516 0.00049 covariance -0.00153   SEE 0.02535