Homework Help is Here – Start Your Trial Now!
Business
Finance
Use the random walk model to forecast the closing price of this stock on the next trading day. Round your answer to the nearest cent, if necessary. $____ You can be about 95% certain that the forecast made in part a will be off by no more than how many dollars? Round your answers to the nearest cent, if necessary.     Forecast Lower limit $   Upper limit $   Date Adjusted Close 4-Jan-18 100.47 5-Jan-18 100.70 8-Jan-18 99.78 9-Jan-18 100.14 10-Jan-18 100.84 11-Jan-18 100.35 12-Jan-18 100.59 16-Jan-18 99.97 17-Jan-18 100.38 18-Jan-18 99.49 19-Jan-18 97.66 22-Jan-18 97.95 23-Jan-18 97.61 24-Jan-18 98.93 25-Jan-18 99.32 26-Jan-18 99.26 29-Jan-18 99.04 30-Jan-18 98.34 31-Jan-18 99.03 1-Feb-18 99.63 2-Feb-18 96.32 5-Feb-18 91.67 6-Feb-18 93.83 7-Feb-18 93.26 8-Feb-18 88.01 9-Feb-18 91.38 12-Feb-18 94.35 13-Feb-18 94.21 14-Feb-18 95.87 15-Feb-18 96.20 16-Feb-18 96.43 20-Feb-18 96.83 21-Feb-18 97.14 22-Feb-18 96.99 23-Feb-18 98.43 26-Feb-18 101.26 27-Feb-18 99.21 28-Feb-18 97.15 1-Mar-18 94.78 2-Mar-18 95.24

Use the random walk model to forecast the closing price of this stock on the next trading day. Round your answer to the nearest cent, if necessary. $____ You can be about 95% certain that the forecast made in part a will be off by no more than how many dollars? Round your answers to the nearest cent, if necessary.     Forecast Lower limit $   Upper limit $   Date Adjusted Close 4-Jan-18 100.47 5-Jan-18 100.70 8-Jan-18 99.78 9-Jan-18 100.14 10-Jan-18 100.84 11-Jan-18 100.35 12-Jan-18 100.59 16-Jan-18 99.97 17-Jan-18 100.38 18-Jan-18 99.49 19-Jan-18 97.66 22-Jan-18 97.95 23-Jan-18 97.61 24-Jan-18 98.93 25-Jan-18 99.32 26-Jan-18 99.26 29-Jan-18 99.04 30-Jan-18 98.34 31-Jan-18 99.03 1-Feb-18 99.63 2-Feb-18 96.32 5-Feb-18 91.67 6-Feb-18 93.83 7-Feb-18 93.26 8-Feb-18 88.01 9-Feb-18 91.38 12-Feb-18 94.35 13-Feb-18 94.21 14-Feb-18 95.87 15-Feb-18 96.20 16-Feb-18 96.43 20-Feb-18 96.83 21-Feb-18 97.14 22-Feb-18 96.99 23-Feb-18 98.43 26-Feb-18 101.26 27-Feb-18 99.21 28-Feb-18 97.15 1-Mar-18 94.78 2-Mar-18 95.24

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
See similar textbooks
icon
Related questions
Question
 
  1. Use the random walk model to forecast the closing price of this stock on the next trading day. Round your answer to the nearest cent, if necessary.

    $____

  2. You can be about 95% certain that the forecast made in part a will be off by no more than how many dollars? Round your answers to the nearest cent, if necessary.

     

      Forecast
    Lower limit $  
    Upper limit $  
Date Adjusted Close
4-Jan-18 100.47
5-Jan-18 100.70
8-Jan-18 99.78
9-Jan-18 100.14
10-Jan-18 100.84
11-Jan-18 100.35
12-Jan-18 100.59
16-Jan-18 99.97
17-Jan-18 100.38
18-Jan-18 99.49
19-Jan-18 97.66
22-Jan-18 97.95
23-Jan-18 97.61
24-Jan-18 98.93
25-Jan-18 99.32
26-Jan-18 99.26
29-Jan-18 99.04
30-Jan-18 98.34
31-Jan-18 99.03
1-Feb-18 99.63
2-Feb-18 96.32
5-Feb-18 91.67
6-Feb-18 93.83
7-Feb-18 93.26
8-Feb-18 88.01
9-Feb-18 91.38
12-Feb-18 94.35
13-Feb-18 94.21
14-Feb-18 95.87
15-Feb-18 96.20
16-Feb-18 96.43
20-Feb-18 96.83
21-Feb-18 97.14
22-Feb-18 96.99
23-Feb-18 98.43
26-Feb-18 101.26
27-Feb-18 99.21
28-Feb-18 97.15
1-Mar-18 94.78
2-Mar-18 95.24

 

             
 
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Essentials Of Investments
Essentials Of Investments
Finance
ISBN:
9781260013924
Author:
Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:
Mcgraw-hill Education,
FUNDAMENTALS OF CORPORATE FINANCE
FUNDAMENTALS OF CORPORATE FINANCE
Finance
ISBN:
9781260013962
Author:
BREALEY
Publisher:
RENT MCG
Financial Management: Theory & Practice
Financial Management: Theory & Practice
Finance
ISBN:
9781337909730
Author:
Brigham
Publisher:
Cengage
Foundations Of Finance
Foundations Of Finance
Finance
ISBN:
9780134897264
Author:
KEOWN, Arthur J., Martin, John D., PETTY, J. William
Publisher:
Pearson,
Fundamentals of Financial Management (MindTap Cou…
Fundamentals of Financial Management (MindTap Cou…
Finance
ISBN:
9781337395250
Author:
Eugene F. Brigham, Joel F. Houston
Publisher:
Cengage Learning
Corporate Finance (The Mcgraw-hill/Irwin Series i…
Corporate Finance (The Mcgraw-hill/Irwin Series i…
Finance
ISBN:
9780077861759
Author:
Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS