Suppose a stock sells for $45 today. The annual volatility of the stock is 37%, and analysts predict the expected price of the stock in a year will be $50. What is the probability that in one year the stock will sell for more than $53? O 28.4% 25.6% 34.7% 36.6%

Suppose a stock sells for $45 today. The annual volatility of the stock is 37%, and analysts predict the expected price of the stock in a year will be $50. What is the probability that in one year the stock will sell for more than $53? O 28.4% 25.6% 34.7% 36.6%

Name: Suppose a stock sells for $45 today. The annual volatility of the sto
Uploaded: 2024-03-05T11:52:21.000Z
Channel: Bartleby
Description: Suppose a stock sells for $45 today. The annual volatility of the stock is 37%, andanalysts predict the expected price of the stock in a year will be $50. What is theprobability that in one year the stock will sell for more than $53?28.4%25.6%O 34.7

MATLAB: An Introduction with Applications

6th Edition

ISBN:9781119256830

Author:Amos Gilat

Publisher:Amos Gilat

Chapter1: Starting With Matlab

Section: Chapter Questions

Problem 1P

See similar textbooks

Similar questions

Example 5: If a bank received on the average 6 bad cheques per day, find the probability that it will receive 4 bad cheques on any given day.
During one eight-week period, a particular mutual fund outperformed the S&P 500 index 21 out of 40 days. Find the probability that it would perform as well or better se again. gnm The probability is (Round to four decimal places as needed.) dent atCru Text C Study P Video & Library Accessit (0/1) (0/1) Purchas Commu Help Me Solve This View an Example Get More Help- Clear All Check Answer Type here to search
Suppose that you are offered the following "deal." You roll a six sided die. If you roll a 6, you win $9. If you roll a 3, 4 or 5, you win $5. Otherwise, you pay $10. a. Complete the PDF Table. List the X values, where X is the profit, from smallest to largest. Round to 4 decimal places where appropriate. Probability Distribution Table X P(X) b. Find the expected profit. $ (Round to the nearest cent) c. Interpret the expected value. a) This is the most likely amount of money you will win. b) You will win this much if you play a game. c) If you play many games you will likely win on average very close to $0.67 per game. d. Based on the expected value, should you play this game? A) Yes, because you can win $9.00 which is greater than the $10.00 that you can lose. B) No, since the expected value is negative, you would be very likely to come home with less money if you played many games. C) Yes, since the expected value is positive, you would be very likely to…
Suppose that you are offered the following "deal." You roll a six sided die. If you roll a 6, you win $14. If you roll a 3, 4 or 5, you win $3. Otherwise, you pay $9.a. Complete the PDF Table. List the X values, where X is the profit, from smallest to largest. Round to 4 decimal places where appropriate. Probability Distribution Table X P(X) b. Find the expected profit. $ (Round to the nearest cent)
Suppose that you are offered the following "deal." You roll a six sided die. If you roll a 6, you win $17. If you roll a 4 or 5, you win $5. Otherwise, you pay $5. a. Complete the PDF Table. List the X values, where X is the profit, from smallest to largest. Round to 4 decimal places where appropriate. Probability Distribution Table P(X) b. Find the expected profit. $ (Round to the nearest cent) c. Interpret the expected value. O You will win this much if you play a game. This is the most likely amount of money you will win. O f you play many games, on average, you will likely win, or lose if negative, close to this amount. d. Based on the expected value, should you play this game? O Yes, since the expected value is 0, you would be very likely to come very close to breaking even if you played many games, so you might as well have fun at no cost. O No, this is a gambling game and it is always a bad idea to gamble. O Yes, since the expected value is positive, you would be very likely to…
Suppose that you are offered the following "deal." You roll a six sided die. If you roll a 6, you win $16. If you roll a 4 or 5, you win $1. Otherwise, you pay $2. a. Complete the PDF Table. List the X values, where X is the profit, from smallest to largest. Round to 4 decimal places where appropriate. Probability Distribution Table X P(X) b. Find the expected profit. $ (Round to the nearest cent) c. Interpret the expected value. You will win this much if you play a game. If you play many games you will likely win on average very close to $2.00 per game. This is the most likely amount of money you will win. d. Based on the expected value, should you play this game? Yes, since the expected value is 0, you would be very likely to come very close to breaking even if you played many games, so you might as well have fun at no cost. No, since the expected value is negative, you would be very likely to come home with less money if you played many games. Yes, since the expected…
Suppose that you are offered the following "deal." You roll a six sided die. If you roll a 6, you win $15. If you roll a 4 or 5, you win $4. Otherwise, you pay $2. a. Complete the PDF Table. List the X values, where X is the profit, from smallest to largest. Round to 4 decimal places where appropriate. Probability Distribution Table X P(X) b. Find the expected profit. $ (Round to the nearest cent) c. Interpret the expected value. O This is the most likely amount of money you will win. If you play many games you will likely win on average very close to $2.83 per game. O You will win this much if you play a game. d. Based on the expected value, should you play this game? Yes, since the expected value is positive, you would be very likely to come home with more money if you played many games. No, this is a gambling game and it is always a bad idea to gamble. Yes, because you can win $15.00 which is greater than the $2.00 that you can lose. No, since the expected value is negative, you…
Bob, the proprietor of Midland Lumber, believes that the odds in favor of a business deal going through are 9 to 5. What is the (subjective) probability that this deal will not materialize? (Round your answer to three decimal places.) P(not materialize) =
Please answer the question asked in the photo attached.
A poll showed that 63.4% of Americans say they believe that some people see the future in their dreams. What is the probability (in percent form) of randomly selecting someone who does not believe that some people see the future in their dreams.Probability= _____ %
Jim is a 60-year-old Anglo male in reasonably good health. He wants to take out a $50,000 term (i.e., straight death benefit) life insurance policy until he is 65. The policy will expire on his 65th birthday. The probability of death in a given year is provided. x = age 60 61 62 63 64 P(death at this age) 0.01027 0.01408 0.01762 0.02017 0.02287 Jim is applying to Big Rock Insurance Company for his term insurance policy. (a) What is the probability that Jim will die in his 60th year? (Enter a number. Enter your answer to five decimal places.)Using this probability and the $50,000 death benefit, what is the expected cost to Big Rock Insurance (in dollars)? (Enter a number. Round your answer to two decimal places.)$ (b) What is the expected cost to Big Rock Insurance for years 61, 62, 63, and 64 (in dollars)? (For each answer, enter a number. Round your answers to two decimal places.)year 61 $ year 62 $ year 63 $ year 64 $ What would be the total expected cost to Big Rock…
The chance of winning a lottery game is 1 in approximately 22 million. Suppose you buy a $1 lottery ticket in anticipation of winning the $6 million grand prize. Calculate your expected net winnings for this single ticket. Interpret the result.