Suppose you have data showing that 40% of tech firms saw their proportion of institutional ownership (IO) increase during the pandemic. When a tech firm’s IO increased, their total market capitalization (market cap) increased 70% of the time. Also, 25% of tech firms saw no market cap increase coupled with no increase in IO. a. What is the probability that a firm saw an increase in market cap if it saw no increase in IO? Provide your answer to the nearest 0.1%. b. Did an increase in IO and an increase in market cap have an effect on each oth

Suppose you have data showing that 40% of tech firms saw their proportion of institutional ownership (IO) increase during the pandemic. When a tech firm’s IO increased, their total market capitalization (market cap) increased 70% of the time. Also, 25% of tech firms saw no market cap increase coupled with no increase in IO. a. What is the probability that a firm saw an increase in market cap if it saw no increase in IO? Provide your answer to the nearest 0.1%. b. Did an increase in IO and an increase in market cap have an effect on each oth

A First Course in Probability (10th Edition)

10th Edition

ISBN:9780134753119

Author:Sheldon Ross

Publisher:Sheldon Ross

Chapter1: Combinatorial Analysis

Section: Chapter Questions

Problem 1.1P: a. How many different 7-place license plates are possible if the first 2 places are for letters and...

See similar textbooks

Similar questions

In recent years research suggests that cell phone usage during social interactions leads to distractions, which undermines the benefits of social interaction. A recent report by greater good magazine reports that a survey shows that 82% of people report that the use of cell phones during a conversation decreases the quality and what they talk about. Assuming the greater good magazine report is accurate, and then a random sample of cell phone users during A recent conversation were sampled. You are interested in the probability that a specific number of the cell phones users would report that the use of cell phones during a conversation decreases the quality of what they talk about.
Some electronic devices are better used than new: The failure rate is higher when they are new than when they are six months old. For example, 43.00% of the personal music players of a particular brand have a flaw. If the player has the flaw, it dies in the first six months. If it does not have this flaw, then only 3.000% fail in the first six months. Yours died after you had it for three months. What are the chances that it has this flaw?
.A new, miracle diabetes drug that diminishes major symptoms of diabetes has been approved by the FDA. Health care professionals and researchers believe that the new drug will prolong lifespan of diabetes patients. If the population is in steady state and the incidence is constant, what will the effect of this new drug be on the prevalence of diabetes in the population? Explain.
The principle of redundancy is used when system reliability is improved through redundant or backup components. Assume that a student's alarm clock has a 5.6% daily failure rate. Complete parts (a) through (d) below. a. What is the probability that the student's alarm clock will not work on the morning of an important final exam? b. If the student has two such alarm clocks, what is the probability that they both fail on the morning of an important final exam? c. What is the probability of not being awakened if the student uses three independent alarm clocks? d. Do the second and third alarm clocks result in greatly improved reliability? A. No, because the malfunction of both is equally or more likely than the malfunction of one. B. No, because total malfunction would still not be unlikely. C. Yes, because total malfunction would not be impossible, but it would be unlikely. D. Yes, because you can always be certain that at…
Suppose that 20.56% of all vehicles on the road get a fuel economy of at least 35 miles per gallon (MPG). You conduct an observational study on a stretch of road outside of campus and record the make and model of 727 vehicles over a month long period. What is the probability that greater than 21.1% of the cars you observed get at least 35 MPG? (please show how to plug this into a scientific calculator) Question 4 options: 1) 0.3593 2) 0.5000 3) <0.0001 4) -23.9437 5) 0.6407
A project has a 60% of super success earning $50,000, a 15% chance of mediocre success earning $20,000, and a 25% probability of failure losing $30,000. What is the EMV of the project?
In a recent year, the Better Business Bureau settled 75% of complaints they received. You have been hired by the Bureau to investigate complaints this year involving computer stores. You plan to select a random sample of complaints to estimate the proportion of complaints the Bureau is able to settle. Suppose your sample size is 299. What is the probability that the sample proportion will be at least 5 percent more than the population proportion?
Dystopia county has three bridges. In the next year, the Elder bridge has a 10% chance of collapse, the Younger bridge has a 2% chance of collapse, and the Ancient bridge has a 16% chance of collapse. What is the probability that exactly one of these bridges will collapse in the next year? (Round your final answer to four decimal places. Do not round intermediate calculations.)
An insurance policy on an electrical device pays a benefit of $2400 if the device fails during the first year. The amount of the benefit decreases by $800 each successive year until it reaches 0 . If the device has not failed by the beginning of any given year, the probability of failure during that year is 0.29.Find the expected benefit under this policy.