Consider two securities X and Y with the following 5 annual returns:
X: +10%, +3%, -2%, +3%, +5%
Y: +7%, -2%, +3%, -5%, +10%
In this case the sample covariance between the two time series can be calculated as:
Which statement regarding the matrix below is true?
You want to test the hypothesis that a population parameter β of a regression model is zero. Your alternative hypothesis is that β≠0. Denote by SD(β) the estimated standard deviation of β, and by MEAN(β) the estimated mean of β. Which test statistic is appropriate, and what is its distribution?
Every covariance matrix must be positive semi-definite. If it were not then:
What is the maximum value for f(x)= 8-(x+3)(x-3)?
The gradient of a function f(x, y, z) = x + y2 - x y z at the point x = y = z = 1 is
Simple linear regression involves one dependent variable, one independent variable and one error variable. In contrast, multiple linear regression uses…
What is the maximum value of the function F(x, y)=x2+y2 in the domain defined by inequalities x ≤ 1, y ≥ -2, y-x ≤ 3 ?
Let X be a random variable distributed normally with mean 0 and standard deviation 1. What is the expected value of exp(X)?
Which of the following is not a sequence?
