Page 26 - FINAL CFA I SLIDES JUNE 2019 DAY 4
P. 26
Session Unit 3:
12. Hypothesis Testing
LOS 12.h: Identify the appropriate TS and interpret the results for a HT concerning the equality of the
population means of 2 at least approximately normally distributed populations, based on independent
random samples with 1) equal or 2) unequal assumed variances, p. 291
Make a decision regarding the hypothesis.
Test statistic, –7.3739, falls
to the left of the lower
critical t-value, So?
Reject Ho and conclude that the announcement period
mean abnormal returns are different for horizontal and
vertical mergers.
