Page 29 - FINAL CFA I SLIDES JUNE 2019 DAY 4
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Session Unit 3:
12. Hypothesis Testing
State the hypothesis:
We need 2TT: How do we know?
(betas can increase or decrease)
Select the appropriate test statistic:
Specify the level of significance: Let’s use a 5%!
State the decision rule regarding the hypothesis.
Using the t-distribution, the 2TT t-values for a 5% SL with df = 38 (39 – 1) is ?