The yield from an investment in government stocks on the Ghana Stock Exchange is expected to be ‘High’, with a probability 0.27, and ‘Moderate’ with a probability of 0.48. According to market analysts from the multimedia group, each GHS 1 invested in government stocks on the Ghana Stock Exchange market will yield a high return of 22%, a moderate return of 40% and a low return of 8.3% next year. Similarly, the yield from an investment in private stocks on the Ghana Exchange is expected to be ‘High’, with a probability 0.25, and ‘Moderate’ with a probability of 0.44. According to market reports, each $ invested in private stocks on the Ghana Stock Exchange will yield a High return of 24%, a moderate return of 37% and a low return of 0.65%, next year. An investor has $666000 to invest in either government or private stocks but not both. Assume the exchange rate for the dollar to cedi currently stays at GHS 4 to a dollar. Round up your answers to two decimal places. The amount invested in government stocks (in GHS) when the yield is expected to be moderate is GHS Blank 1. Fill in the blank, read surrounding text. The amount invested in private stocks (in USD) when the yield is expected to be low is USD Blank 2. Fill in the blank, read surrounding text. The expected return for investing in government stocks is USD Blank 3. Fill in the blank, read surrounding text. The expected yield for investing in private stocks is USD Blank 4. Fill in the blank, read surrounding text. By how much the best yielding stock exceeds the least yielding stock USD Blank 5. Fill in the blank, read surrounding text.
Contingency Table
A contingency table can be defined as the visual representation of the relationship between two or more categorical variables that can be evaluated and registered. It is a categorical version of the scatterplot, which is used to investigate the linear relationship between two variables. A contingency table is indeed a type of frequency distribution table that displays two variables at the same time.
Binomial Distribution
Binomial is an algebraic expression of the sum or the difference of two terms. Before knowing about binomial distribution, we must know about the binomial theorem.
The yield from an investment in government stocks on the Ghana Stock Exchange is expected to be ‘High’, with a
Similarly, the yield from an investment in private stocks on the Ghana Exchange is expected to be ‘High’, with a probability 0.25, and ‘Moderate’ with a probability of 0.44. According to market reports, each $ invested in private stocks on the Ghana Stock Exchange will yield a High return of 24%, a moderate return of 37% and a low return of 0.65%, next year.
An investor has $666000 to invest in either government or private stocks but not both. Assume the exchange rate for the dollar to cedi currently stays at GHS 4 to a dollar. Round up your answers to two decimal places.
- The amount invested in government stocks (in GHS) when the yield is expected to be moderate is GHS Blank 1. Fill in the blank, read surrounding text.
- The amount invested in private stocks (in USD) when the yield is expected to be low is USD Blank 2. Fill in the blank, read surrounding text.
- The expected return for investing in government stocks is USD Blank 3. Fill in the blank, read surrounding text.
- The expected yield for investing in private stocks is USD Blank 4. Fill in the blank, read surrounding text.
- By how much the best yielding stock exceeds the least yielding stock USD Blank 5. Fill in the blank, read surrounding text.
Trending now
This is a popular solution!
Step by step
Solved in 7 steps
