{"id":155773,"date":"2018-02-20T23:50:30","date_gmt":"2018-02-20T23:50:30","guid":{"rendered":"https:\/\/writemyessayfree.com\/hypothesis-testing-banking-industry"},"modified":"2017-08-17T18:31:38","modified_gmt":"2017-08-17T18:31:38","slug":"hypothesis-testing-banking-industry","status":"publish","type":"post","link":"https:\/\/www.benedictsol.com\/blogs\/hypothesis-testing-banking-industry\/","title":{"rendered":"Hypothesis Testing: Banking Industry"},"content":{"rendered":"<p>In the banking industry, the return on&nbsp;<a class=\"business\/issuing-equity\">equity<\/a>&nbsp;ratio or percentage is used to evaluate the financial performance of a bank. Such information is extremely valuable to investors. Please obtain the required data from the attached Excel documents.<\/p>\n<p>Calculate the&nbsp;<a class=\"business\/return-on-equity\">return on equity<\/a>&nbsp;(<a class=\"business\/return-on-equity\">ROE<\/a>) 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 Act.<\/p>\n<p>Later, answer the following questions:<br \/> \u2022After the enactment of the Sarbanes-Oxley Act, was the average bank\u2019s ROE lower than it was before the act? If so, why do you think that was the case?<br \/> \u2022What is the null hypothesis for this hypothesis test?<br \/> \u2022What is the alternative hypothesis for this hypothesis test?<br \/> \u2022Choose 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?<br \/> \u2022Is it possible that a Type II error occurred? Why or why not?<\/p>\n","protected":false},"excerpt":{"rendered":"<p>In the banking industry, the return on&nbsp;equity&nbsp;ratio or percentage is used to evaluate the financial performance of a bank. Such information is extremely valuable to investors. Please obtain the required data from the attached Excel documents. Calculate the&nbsp;return on equity&nbsp;(ROE) <a href=\"https:\/\/www.benedictsol.com\/blogs\/hypothesis-testing-banking-industry\/\" class=\"read-more\">Read More &#8230;<\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-155773","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts\/155773","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/comments?post=155773"}],"version-history":[{"count":0,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts\/155773\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/media?parent=155773"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/categories?post=155773"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/tags?post=155773"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}