The analysts’ stock recommendations are of considerable interest to investors. A study looking at the subsequent performance of new buy and sell recommendations by analysts over a period of time found the following results: Successful Unsuccessful New Buy 957 1233 New Sell 503 221 Note: A buy recommendation is ‘successful’ if the stock outperforms the benchmark by at least 4% over the next year. A sell recommendation is ‘successful’ if the stock underperforms the benchmark by at least 2% over the next year. ii) What is the probability that a chosen recommendation is a new buy and is successful?
The analysts’ stock recommendations are of considerable interest to investors. A study looking at the subsequent performance of new buy and sell recommendations by analysts over a period of time found the following results: Successful Unsuccessful New Buy 957 1233 New Sell 503 221 Note: A buy recommendation is ‘successful’ if the stock outperforms the benchmark by at least 4% over the next year. A sell recommendation is ‘successful’ if the stock underperforms the benchmark by at least 2% over the next year. ii) What is the probability that a chosen recommendation is a new buy and is successful?
MATLAB: An Introduction with Applications
6th Edition
ISBN:9781119256830
Author:Amos Gilat
Publisher:Amos Gilat
Chapter1: Starting With Matlab
Section: Chapter Questions
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The analysts’ stock recommendations are of considerable interest to investors. A study looking at the subsequent performance of new buy and sell recommendations by analysts over a period of time found the following results:
Successful Unsuccessful
New Buy 957 1233
New Sell 503 221
Note: A buy recommendation is ‘successful’ if the stock outperforms the benchmark by at least 4% over the next year. A sell recommendation is ‘successful’ if the stock underperforms the benchmark by at least 2% over the next year.
ii) What is the probability that a chosen recommendation is a new buy and is successful?
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