- #1

Kerrie

Staff Emeritus

Gold Member

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## Homework Statement

Suppose a mutual fund qualifies as having moderate risk if the standard deviation of its monthly rate of return is less than 6%. A mutual-fund rating agency randomly selects 28 months and determines the rate of return for a certain fund. The standard deviation of the rate of return is computed to be 5.23%. Is there sufficient evidence to conclude that the fund has moderate risk at the α=0.05 level of significance? A normal probability plot indicates that the monthly rates of return are normally distributed.

## Homework Equations

This homework problem has multi-answers, but I am struggling to find the P-value with Hypothesis Testing when testing a claim about a standard deviation or variance. The homework question (online class) is asking to solve the P-value using technology. I have a TI-84 Plus calculator. I also have StatCrunch (the program within the online course), but not StatDisk.

## The Attempt at a Solution

I have used the T-Test function in the calculator when testing the mean, but I don't have the mean in this problem to input for the T-Test. Test Statistic is X

^{2}= 20.515 (rounded).

I understand what the P-value is for, but it seems there are various methods on the calculator to compute it. Is there anyone with knowledge of the TI-84 plus to find the P-value for testing a claim about standard deviations?