A Stock Analyst Wanted to Compare the Long-Term Return of Stocks

Essay

A stock analyst wanted to compare the long-term return of stocks from different industries. She randomly selected eight stocks in each of the three industries of interest (financial, energy, utilities) and compiled the 10-year rate of return for each stock (assume the return for one stock is not dependent on the return for any other stock). Below are the data that were collected.

$\begin{array}{rrr}\text { Financial } & \text { Energy } & \text { Utilities } \\\hline 10.76 & 12.72 & 10.88 \\15.05 & 14.91 & 5.86 \\17.01 & 6.43 & 12.46 \\5.07 & 11.19 & 9.90 \\19.50 & 18.79 & 3.95 \\8.16 & 20.73 & 3.44 \\10.38 & 9.60 & 7.11 \\6.76 & 17.40 & 15.70 \\\hline\end{array}$
Use SPSS to conduct a one-factor ANOVA to determine if the returns are equal across industries ( $\alpha$ = .05).
Test the assumptions, plot the group means, consider an effect size, interpret the results, and write an APA-style summary.