The Choice of Maximum Likelihood Estimate among the Lognormal, Weibull and Mixed-Lognormal-Weibull Distributions: An Empirical Examination of Stock Price Returns

Author:

Anderson Ugomma Chukwudi

Abstract

This paper compared the maximum likelihood estimates (MLE) of lognormal, Weibull and Mixed-lognormal-weibull distributions. The data for this study were Coca-cola stock price returns obtained from https://ng.www.investing.com/equities/cocacola-bottle-historical-data and the result with the help of Excel package shows that Weibull distributionhas the minimum Mean Squared Error among the lognormal and Mixed-lognormal-weibull distributions; hence, the maximum likelihood estimate of the Weibull distribution is the choice.

Publisher

African - British Journals

Reference24 articles.

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