Hi All, I know you must be in crunch time. Getting through the exam is a hard path but best of luck to all of you. One note that may help: If you have the BA II Professional Plus calculator, you can use the DATA/STATS functions to instantly calculate the standard deviation, mean, and correlation of two data sets. Wishing you the best! Peter

hello, can u please explain in steps how can we do that? this will be great help for all of us since it will save sooooooo much time during the exam. thank u in advance:)

Example: You have calculated the following returns for an individual stock and the stock market over the past four months. Ri (Y) Rm (X) Month 1 12% 15% Month 2 8% 4% Month 3 9% 12% Month 4 10% 14% Calculate the stock’s mean return, the market’s mean return, and the correlation between the stock’s returns and market returns. Step 1: Enter the data: [2nd][DATA] – make sure to [2nd][CLR WORK] first!! (Make sure its in LIN mode for 2 variables) X (01): {15}[ENTER][down] Y (01) {12}[ENTER][down] X (02) {4}[ENTER][down] Y (02) {8}[ENTER][down] X (03) {12}[ENTER][down] Y (03) {9}[ENTER][down] X (04) {14}[ENTER][down] Y (04) {10}[ENTER][down] Step 2: Calculate the statistics: [2nd][STAT][down] Mean of X [down] = X = 11.25 Sample standard deviation X [down] = SX = 4.992 Population standard deviation X [down] = stdx = 4.323 Mean of Y [down] = Y = 9.75 Sample standard deviation Y [down] =SY = 1.708 Population standard deviation Y [down] =stdY = 1.479 Intercept term [down] = a = 6.55 Slope coefficient [down] = b = 0.284 Correlation X, Y [down] = r = 0.831

thanks alot Peter. i never knew that but definitely a huge time saver. bring on the covariances!

Hi BryGuy For covariance, you will have to store [click on STO and press #] Sample Standard Deviation of X, Sample Standard Deviation of Y, and Correlation between X and Y Then RCL the # and multiply them. So When you see on screen Sx, Click on STO 1 When you see on screen Sy, Click on STO 2 When you see on screen r, Click on STO 3 After that click on 2ND and CPT to go to main screen and then click: RCL 1 * RCL 2 * RCL 3 and your covariance is there Wouldn’t work if you have probability distribution though. Hope this helps On a different note, thanks for your wishes Peter - hope your level II preparation is going good

Thank you for that, its a life saver, too bad it cant be used for probability distribution… but its really good.