A fund manager wants to know if the annual rate of return is greater for growth stocks (sample 1) than for value stocks (sample 2). The fund manager collects data on the returns of growth and value funds. Below are the sample sizes and rank sums for the Wilcoxon rank-sum test. The p-value for the test is ________.
A) greater than 0.10
B) between 0.10 and 0.05
C) between 0.05 and 0.01
D) less than 0.01

Question

A fund manager wants to know if the annual rate of return is greater for growth stocks (sample 1) than for value stocks (sample 2). The fund manager collects data on the returns of growth and value funds. Below are the sample sizes and rank sums for the Wilcoxon rank-sum test.  The p-value for the test is ________.
A) greater than 0.10 
B) between 0.10 and 0.05 
C) between 0.05 and 0.01 
D) less than 0.01

Quizplus · Accepted Answer

The p-value for the test is 0.036, which is less than 0.05 but greater than 0.01. Therefore, the correct choice is C, between 0.05 and 0.01.

A Fund Manager Wants to Know If the Annual Rate