John is looking to invest in the Canadian Stock Market. In particular, John wants to maximize his received cash flows, so he would like to invest in companies that have a high dividend per share ratio. Load the FinanceCanada.csv dataset. This contains randomly chosen Canadian companies sorted into seven industry groups (1=real estate, 2=financial, etc), along with a variety of financial metrics. To direct his investing, John would like to test whether certain types of industries have on average a higher dividend per share ratio. a) State the null and alternative hypotheses
industry <- read.csv("FinanceCanada.csv") industry1 <- subset(industry, Industry == 1) industry2 <- subset(industry, Industry == 2) industry3 <- subset(industry, Industry == 3) industry4 <- subset(industry, Industry == 4) industry5 <- subset(industry, Industry == 5) industry6 <- subset(industry, Industry == 6) industry7 <- subset(industry, Industry == 7) # Null hypothesis: What is the average dividend per share ratio of the entire population? # Alternative hypothesis: The average dividend per share ratio of industry 1 is different than the population's. # The alternative hypothesis is the same for all industries # The null hypothesis is that the mean is equal to 0 # The alternative hypothesis is that the mean is not equal to 0 # The alternative hypothesis is that the mean is greater than 0 # The alternative hypothesis is that the mean is less than 0 # The alternative hypothesis is that the mean is not equal to the population's mean # Null hypothesis: What is
