Females’ Body Temperatures A study of human body temperatures using healthy women showed a mean of 98.4 ∘ F and a standard deviation of about 0.70 ∘ F . Assume the temperatures are approximately Normally distributed. a. Find the percentage of healthy women with temperatures below 98.6 ∘ F (this temperature was considered typical for many decades). b. What temperature does a healthy woman have if her temperature is at the 76th percentile?
Females’ Body Temperatures A study of human body temperatures using healthy women showed a mean of 98.4 ∘ F and a standard deviation of about 0.70 ∘ F . Assume the temperatures are approximately Normally distributed. a. Find the percentage of healthy women with temperatures below 98.6 ∘ F (this temperature was considered typical for many decades). b. What temperature does a healthy woman have if her temperature is at the 76th percentile?
Solution Summary: The author explains how to determine the percentage of healthy women with a body temperature below 98.6circF.
Females’ Body Temperatures A study of human body temperatures using healthy women showed a mean of
98.4
∘
F
and a standard deviation of about
0.70
∘
F
. Assume the temperatures are approximately Normally distributed.
a. Find the percentage of healthy women with temperatures below
98.6
∘
F
(this temperature was considered typical for many decades).
b. What temperature does a healthy woman have if her temperature is at the 76th percentile?
Features Features Normal distribution is characterized by two parameters, mean (µ) and standard deviation (σ). When graphed, the mean represents the center of the bell curve and the graph is perfectly symmetric about the center. The mean, median, and mode are all equal for a normal distribution. The standard deviation measures the data's spread from the center. The higher the standard deviation, the more the data is spread out and the flatter the bell curve looks. Variance is another commonly used measure of the spread of the distribution and is equal to the square of the standard deviation.
Please solving problem2
Problem1
We consider a two-period binomial model with the following properties: each period lastsone (1) year and the current stock price is S0 = 4. On each period, the stock price doubleswhen it moves up and is reduced by half when it moves down. The annual interest rateon the money market is 25%. (This model is the same as in Prob. 1 of HW#2).We consider four options on this market: A European call option with maturity T = 2 years and strike price K = 5; A European put option with maturity T = 2 years and strike price K = 5; An American call option with maturity T = 2 years and strike price K = 5; An American put option with maturity T = 2 years and strike price K = 5.(a) Find the price at time 0 of both European options.(b) Find the price at time 0 of both American options. Compare your results with (a)and comment.(c) For each of the American options, describe the optimal exercising strategy.
Problem 1.We consider a two-period binomial model with the following properties: each period lastsone (1) year and the current stock price is S0 = 4. On each period, the stock price doubleswhen it moves up and is reduced by half when it moves down. The annual interest rateon the money market is 25%.
We consider four options on this market: A European call option with maturity T = 2 years and strike price K = 5; A European put option with maturity T = 2 years and strike price K = 5; An American call option with maturity T = 2 years and strike price K = 5; An American put option with maturity T = 2 years and strike price K = 5.(a) Find the price at time 0 of both European options.(b) Find the price at time 0 of both American options. Compare your results with (a)and comment.(c) For each of the American options, describe the optimal exercising strategy.(d) We assume that you sell the American put to a market participant A for the pricefound in (b). Explain how you act on the market…
What is the standard scores associated to the left of z is 0.1446
Elementary Statistics: Picturing the World (7th Edition)
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