SCENARIO 13-7
-Referring to Scenario 13-7, to test whether the prison stocks portfolio is negatively related to
The S&P 500 index, the measured value of the test statistic is
A) -7.019
B) -0.503
C) 0.072
D) 0.357

Question

SCENARIO 13-7 
-Referring to Scenario 13-7, to test whether the prison stocks portfolio is negatively related to
The S&P 500 index, the measured value of the test statistic is
A) -7.019 
B) -0.503 
C) 0.072 
D) 0.357

Quizplus · Accepted Answer

The test statistic value of -7.019 indicates a strong negative relationship between the prison stocks portfolio and the S&P 500 index, which is consistent with testing for a negative relationship.

SCENARIO 13-7 -Referring to Scenario 13-7, to Test Whether the Prison Stocks