This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: An investor estimates that there is a 75 chance that a particular mutual fund's price will increase ... (Read 79 times)

WhattoUnderstand

  • Hero Member
  • *****
  • Posts: 517
on: Aug 1, 2018
An investor estimates that there is a 75 chance that a particular mutual fund's price will increase to 100 per share over the next three weeks, based on past data. Interpret the 75 probability.

Question 2

The probability density function f(x) for a uniform random variable X defined over the interval 2, 10 is
 a. 0.20 c. 4
  b. 8 d. None of these choices.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

trampas

  • Sr. Member
  • ****
  • Posts: 320
Reply #1 on: Aug 1, 2018
Answer to Question 1

We interpret the 75 figure to mean that if we had an infinite number of funds with exactly the same economic and market characteristics as the one the investor will buy, 75 of them will increase in price to 100 over the next three weeks.

Answer to Question 2

D


WhattoUnderstand

  • Member
  • Posts: 517
Reply 2 on: Aug 1, 2018
YES! Correct, THANKS for helping me on my review

sarah_brady415

  • Member
  • Posts: 328
Reply 3 on: Yesterday
Gracias!

« previous next »
 

Did you know?

Drying your hands with a paper towel will reduce the bacterial count on your hands by 45–60%.

Did you know?

Nitroglycerin is used to alleviate various heart-related conditions, and it is also the chief component of dynamite (but mixed in a solid clay base to stabilize it).

Did you know?

Most fungi that pathogenically affect humans live in soil. If a person is not healthy, has an open wound, or is immunocompromised, a fungal infection can be very aggressive.

Did you know?

Never take aspirin without food because it is likely to irritate your stomach. Never give aspirin to children under age 12. Overdoses of aspirin have the potential to cause deafness.

Did you know?

About 80% of major fungal systemic infections are due to Candida albicans. Another form, Candida peritonitis, occurs most often in postoperative patients. A rare disease, Candida meningitis, may follow leukemia, kidney transplant, other immunosuppressed factors, or when suffering from Candida septicemia.

Browning and Gunning demonstrated that placental transfer tissues increase plant reproductive succes Browning and Gunning demonstrated that placental transfer tissues increase plant reproductive succes
Browning and Gunning demonstrated that placental transfer tissues increase plant reproductive succes Browning and Gunning demonstrated that placental transfer tissues increase plant reproductive succes
Risks of infectious disease increase in (a) high-density agricultural populations compared to (b) lo Risks of infectious disease increase in (a) high-density agricultural populations compared to (b) lo
A typical camshaft-driven high-pressure pump used to increase fuel pressure to 2,000 PSI or higher. A typical camshaft-driven high-pressure pump used to increase fuel pressure to 2,000 PSI or higher.
IPCC Temperature Increase Predictions Relative to 1986-2005 IPCC Temperature Increase Predictions Relative to 1986-2005
Your company advertises all prices on the menu board as a final price, including HST of 13%. A ... Your company advertises all prices on the menu board as a final price, including HST of 13%. A ...
Video: Net filtration pressure and lymph formation, edema & blood velocity

For a complete list of videos, visit our video library