
A Problem Solving Approach To Mathematics For Elementary School Teachers (13th Edition)
13th Edition
ISBN: 9780135183885
Author: Rick Billstein, Shlomo Libeskind, Johnny Lott, Barbara Boschmans
Publisher: PEARSON
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Question
Chapter 6.CR, Problem 45CR
To determine
To find:
The ratio of the perimeters of two equilateral triangles.
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Chapter 6 Solutions
A Problem Solving Approach To Mathematics For Elementary School Teachers (13th Edition)
Ch. 6.1 - Mathematical Connections Explain why 25 cents is...Ch. 6.1 - Mathematical Connections In each of two different...Ch. 6.1 - Prob. 3MCCh. 6.1 - Prob. 4MCCh. 6.1 - Mathematical Connections Explain why in...Ch. 6.1 - Prob. 6MCCh. 6.1 - MATHEMATICAL CONNECTIONS Explain how you could use...Ch. 6.1 - Prob. 8MCCh. 6.1 - How would you show 14 of the combined area of the...Ch. 6.1 - Prob. 10MC
Ch. 6.1 - Prob. 11MCCh. 6.1 - MATHEMATICAL CONNECTIONS A students claims that...Ch. 6.1 - Prob. 13MCCh. 6.1 - MATHEMATICAL CONNECTIONS Ann claims that she...Ch. 6.1 - Prob. 15MCCh. 6.1 - Prob. 16MCCh. 6.1 - Prob. 17MCCh. 6.1 - Prob. 18MCCh. 6.1 - Prob. 19MCCh. 6.1 - MATHEMATICAL CONNECTIONS Michelle wants to know if...Ch. 6.1 - MATHEMATICAL CONNECTIONS Claire claims that 13 is...Ch. 6.1 - Prob. 22MCCh. 6.1 - Prob. 1NAEPCh. 6.1 - Prob. 2NAEPCh. 6.1 - NATIONAL ASSESSMENT OF EDUCATIONAL PROGRESS NAEP...Ch. 6.1 - Prob. 4NAEPCh. 6.1A - Write a sentence that illustrates the use of 78 in...Ch. 6.1A - For each of the following, write a fraction to...Ch. 6.1A - If the entire rectangle is a whole, what fraction...Ch. 6.1A - Prob. 4ACh. 6.1A - Based on your visual observations, could the...Ch. 6.1A - In each case, subdivide the figure shown on the...Ch. 6.1A - Referring to the figure, represent each of the...Ch. 6.1A - Prob. 8ACh. 6.1A - For each of the following fractions, write three...Ch. 6.1A - Find the simplest form for each of the following...Ch. 6.1A - For each of the following fractions, choose the...Ch. 6.1A - Find the simplest form for each of the following...Ch. 6.1A - Determine whether the following pairs are equal....Ch. 6.1A - Determine whether the following pairs are equal by...Ch. 6.1A - Draw an area model to show that 34=68.Ch. 6.1A - If a fraction equals 34 and the sum of the...Ch. 6.1A - Mr. Gomez filled his cars 16 gal gas tank. He took...Ch. 6.1A - Solve for x in each of the following. a. 23=x16 b....Ch. 6.1A - For each of the following pair of fractions,...Ch. 6.1A - For each of the following, find two rational...Ch. 6.1A - a. 6 oz is what part of a pound? A ton? b. A dime...Ch. 6.1A - Based on your visual observation write a fraction...Ch. 6.1A - Arrange each of the following in descending...Ch. 6.1A - Determine whether the following is true: If a, b,...Ch. 6.1A - Fill in missing numbers for x, y, z, and w to...Ch. 6.1A - Prove that any integer n can be written as a...Ch. 6.1A - Prob. 27ACh. 6.1A - Ten bulbs were in a chandelier. One-fifth of the...Ch. 6.1A - At a party, there were 35 guests. Two-fifths of...Ch. 6.1B - Write a sentence that illustrate the use of 710 in...Ch. 6.1B - For each of the following write the fraction to...Ch. 6.1B - If the entire rectangle is a whole, what fraction...Ch. 6.1B - Complete each of the following figures so that it...Ch. 6.1B - Based on your visual observation, could the shaded...Ch. 6.1B - Each model below represents the given fraction....Ch. 6.1B - Referring the figure represent the each of the...Ch. 6.1B - Prob. 8ACh. 6.1B - For each of the following write three equal...Ch. 6.1B - Find the simplest form for each of the following...Ch. 6.1B - Prob. 11ACh. 6.1B - Find the simplest form for each of the following...Ch. 6.1B - Determine whether the following pairs are equal....Ch. 6.1B - Determine whether the following pairs are equal by...Ch. 6.1B - Prob. 15ACh. 6.1B - Prob. 16ACh. 6.1B - The following two parking meters are next to each...Ch. 6.1B - Solve for x in each of the following. a.23=x18...Ch. 6.1B - For each of the following pairs of fractions,...Ch. 6.1B - Prob. 20ACh. 6.1B - a. 12oz is what part of a pound. b A nickel is...Ch. 6.1B - Prob. 22ACh. 6.1B - Fill in missing numbers for x, y, z, and w to...Ch. 6.1B - Use the Fundamental Law of Fractions Theorem 6-1...Ch. 6.1B - Prob. 25ACh. 6.1B - Prob. 26ACh. 6.1B - Ten light bulbs were in a chandelier. Three-fifths...Ch. 6.1B - At a party, there were 40 guests. One-fifth of the...Ch. 6.1B - Sketch four different windows having different...Ch. 6.2 - Suppose a large pizza is divided into 3 equal...Ch. 6.2 - Prob. 2MCCh. 6.2 - When we add two fractions with unlike denominators...Ch. 6.2 - Prob. 4MCCh. 6.2 - Kara spent 12 of her allowance on Saturday and 13...Ch. 6.2 - Compute 334+513 in two different ways and leave...Ch. 6.2 - Prob. 7MCCh. 6.2 - Write a story problem for 2314.Ch. 6.2 - a. With the exception of 23, the Egyptians used...Ch. 6.2 - Kendra showed that 13+34=47 by using the following...Ch. 6.2 - Prob. 11MCCh. 6.2 - Prob. 12MCCh. 6.2 - Explain the error pattern on Jons test. a....Ch. 6.2 - Prob. 14MCCh. 6.2 - Prob. 15MCCh. 6.2 - Prob. 16MCCh. 6.2 - Answer the ConvinceMe question on the School Book...Ch. 6.2 - Prob. 18MCCh. 6.2 - Prob. 19MCCh. 6.2 - Prob. 20MCCh. 6.2 - Prob. 21MCCh. 6.2 - Melinda ate 35 of the cookies and left the rest...Ch. 6.2 - Prob. 23MCCh. 6.2 - Prob. 1NAEPCh. 6.2 - Prob. 2NAEPCh. 6.2A - Perform the following additions or subtractions....Ch. 6.2A - Change each of the following fractions to a mixed...Ch. 6.2A - Change each of the following mixed numbers to a...Ch. 6.2A - Approximate each of the following situations with...Ch. 6.2A - Use the information in the table to answer each of...Ch. 6.2A - Sort the following fraction cards into the ovals...Ch. 6.2A - Approximate each of the following fractions by...Ch. 6.2A - Prob. 8ACh. 6.2A - Compute each of the following mentally. a. 234 b....Ch. 6.2A - The following ruler has region marked M, A, T, H....Ch. 6.2A - Use clustering to estimate the following sum....Ch. 6.2A - A class consists of 25 freshmen, 14 sophomores,...Ch. 6.2A - A clerk sold three pieces of one type ribbon of...Ch. 6.2A - Martine bought 834yd of fabric. She wants to make...Ch. 6.2A - Give an example illustrating each of the following...Ch. 6.2A - Prob. 16ACh. 6.2A - Prob. 17ACh. 6.2A - Alyssa runs 58mi in 10 min. Bryan runs 78mi in 10...Ch. 6.2A - One recipe calls for 134 cups of milk and a second...Ch. 6.2A - The table below shows census date for a particular...Ch. 6.2A - Two fractions have a sum of 1. If one of the...Ch. 6.2A - Prob. 22ACh. 6.2B - Perform the following additions or subtractions....Ch. 6.2B - Change each of the following fractions to a mixed...Ch. 6.2B - Prob. 3ACh. 6.2B - Place the numbers 2,5,6, and 8 in the following...Ch. 6.2B - Use the information in the table to answer each of...Ch. 6.2B - Sort the following fraction cards into the ovals...Ch. 6.2B - Prob. 7ACh. 6.2B - Prob. 8ACh. 6.2B - Compute each of the following mentally. a. 678 b....Ch. 6.2B - Prob. 10ACh. 6.2B - A class consists of 14 freshmen, 15 sophomores,...Ch. 6.2B - The Acme Company sells its products in many...Ch. 6.2B - A recipe requires 312 cups of milk. Ran put in 134...Ch. 6.2B - A 1534in. board is cut in a single cut from a...Ch. 6.2B - Students from Rattlesnake School formed four teams...Ch. 6.2B - Insert four fractions between the numbers 1 and 3...Ch. 6.2B - Solve for x in each of the following. a. x56=23 b....Ch. 6.2B - Joe has 34 cup of paint in a container. He uses 13...Ch. 6.2B - a. Find 12+14. b. Find 12+14+18. c. Find...Ch. 6.2B - Prob. 21ACh. 6.3 - Suppose you divide a natural number n by a...Ch. 6.3 - If the fractions represented by points C and D on...Ch. 6.3 - If the product of two numbers is 1 and one of the...Ch. 6.3 - Bente says to do the problem 1214334 you just find...Ch. 6.3 - Amy says that dividing a number by 12 is the same...Ch. 6.3 - Dani says that if we have 3425, we could just...Ch. 6.3 - Noah says that dividing a number by 2 is the same...Ch. 6.3 - Jim is not sure when to use multiplication by a...Ch. 6.3 - A student claims that division always makes things...Ch. 6.3 - A student simplified the fraction m+np+n to mp....Ch. 6.3 - Jillian says she learned that 17 divided by 5 can...Ch. 6.3 - Joanie said that if you multiply a fraction less...Ch. 6.3 - Julius claims that when you use invert and...Ch. 6.3 - Bob says that when you divide a positive whole...Ch. 6.3 - Ann is calculating 34(1225) by finding 34 of 12=9...Ch. 6.3 - Shelly says that 234(415)=24+3415=8+320=8320. Is...Ch. 6.3 - Noah is calculating (56)2. He draws the figures...Ch. 6.3 - Prob. 18MCCh. 6.3 - Work the two Try It problem on the School Book...Ch. 6.3 - Perform each of the following computations. Leave...Ch. 6.3 - Each student at Sussex Elementary School takes one...Ch. 6.3 - Find each sum or difference; simplify if possible....Ch. 6.3 - Determine which of the following is always...Ch. 6.3 - Both figures below show the same scale. The marks...Ch. 6.3 - Jim has 34 of a yard of string which he wishes to...Ch. 6.3 - Nick has a whole pizza. Nick says he will eat 12...Ch. 6.3A - In the following figures, a unit rectangle is used...Ch. 6.3A - Use a rectangular region to illustrate each of the...Ch. 6.3A - Find each of the following products of rational...Ch. 6.3A - Prob. 4ACh. 6.3A - Find the multiplicative inverse of each of the...Ch. 6.3A - Solve for x. a. 23x=76 b. 34x=12 c. 56+23x=34 d....Ch. 6.3A - Show that the following properties do not hold for...Ch. 6.3A - Compute the following mentally. Find the exact...Ch. 6.3A - Choose from among the numbers in parentheses the...Ch. 6.3A - Without actually doing the computation, choose the...Ch. 6.3A - A sewing project requires 618yd of material that...Ch. 6.3A - Five-eighths of the students at Salem State...Ch. 6.3A - Alberto owns 59 of the stock in the N.W. Tofu...Ch. 6.3A - A suit is on sale for 180. What was the original...Ch. 6.3A - John took all his money out of his savings...Ch. 6.3A - Al gives 12 of his marbles to Bev. Bev gives 12 of...Ch. 6.3A - Write each of the following in simplest form using...Ch. 6.3A - Write each of the following in simplest form using...Ch. 6.3A - Solve for the integer n in each of the following....Ch. 6.3A - Solve each of the following inequality for x,...Ch. 6.3A - Determine which fraction in each of the following...Ch. 6.3A - Show that the arithmetic mean of two rational...Ch. 6.3A - In the School of Design, 1725 of the students were...Ch. 6.3A - Prob. 25ACh. 6.3A - Some friends went to a movie and bought 2 bags of...Ch. 6.3A - If 133 of all deer in the United States are in...Ch. 6.3A - If 14 of an estate is to be distributed equally to...Ch. 6.3B - In the following figures, a unit rectangle is used...Ch. 6.3B - Use a rectangular region to illustrate each of the...Ch. 6.3B - Assessment Find each of the following products of...Ch. 6.3B - Assessment Use the distributive property to find...Ch. 6.3B - Assessment Find the multiplicative inverse of each...Ch. 6.3B - Prob. 6ACh. 6.3B - Assessment Find a fraction such that if you add...Ch. 6.3B - Assessment Compute the following mentally, find...Ch. 6.3B - Assessment Choose from among the numbers in the...Ch. 6.3B - Assessment Without actually doing the...Ch. 6.3B - When you multiply a certain number by 3 and then...Ch. 6.3B - Di Paloma University had a faculty reduction and...Ch. 6.3B - A person has 2912yd of material available to make...Ch. 6.3B - Every employees salary at the sunrise software...Ch. 6.3B - Jasmine is reading a book. She has finished 34 of...Ch. 6.3B - Prob. 16ACh. 6.3B - Write each of the following in the simplest form...Ch. 6.3B - Prob. 18ACh. 6.3B - Prob. 19ACh. 6.3B - Prob. 20ACh. 6.3B - Solve each of the following inequalities for x,...Ch. 6.3B - Prob. 22ACh. 6.3B - Prob. 23ACh. 6.3B - Joan attended school for 2 weeks longer than 34 of...Ch. 6.3B - In the school of Design, 825 of the students were...Ch. 6.3B - Prob. 26ACh. 6.3B - Prob. 27ACh. 6.3B - Prob. 28ACh. 6.4 - Prob. 1MCCh. 6.4 - Prob. 2MCCh. 6.4 - Prob. 3MCCh. 6.4 - Prob. 4MCCh. 6.4 - Prob. 5MCCh. 6.4 - Prob. 6MCCh. 6.4 - Prob. 7MCCh. 6.4 - Prob. 8MCCh. 6.4 - Prob. 9MCCh. 6.4 - Prob. 10MCCh. 6.4 - MATHEMATICAL CONNECTIONS Al is 5ft tall and has a...Ch. 6.4 - Prob. 12MCCh. 6.4 - George and Mike are mixing paints for an art...Ch. 6.4 - If the numerator of a rational number is 6 times...Ch. 6.4 - Prob. 15MCCh. 6.4 - Explain why any integer is a rational number?Ch. 6.4 - Prob. 17MCCh. 6.4 - Prob. 18MCCh. 6.4 - Prob. 19MCCh. 6.4 - Prove that 9998 is less than 9796.Ch. 6.4 - a. Amal can finish a job in 12 of a day working by...Ch. 6.4 - Prob. 1NAEPCh. 6.4 - NATIONAL ASSESSMENT OF EDUCATION PROGRESS NAEP The...Ch. 6.4 - Prob. 3NAEPCh. 6.4 - Prob. 4NAEPCh. 6.4 - A map shows the location of town A and town B. On...Ch. 6.4A - Answer the following regarding the English...Ch. 6.4A - Solve for x each of the following proportions. a....Ch. 6.4A - a. If the ratio of boys to girls in a class is...Ch. 6.4A - There are approximately 2lb of muscle for every...Ch. 6.4A - Prob. 5ACh. 6.4A - Prob. 6ACh. 6.4A - Prob. 7ACh. 6.4A - Two numbers are in the ratio 3:4. Find the numbers...Ch. 6.4A - Gary, Bill, and Carmella invested in a corporation...Ch. 6.4A - Sheila and Dora worked 312hr and 412hr...Ch. 6.4A - Vonna scored 75 goals in her soccer kicking...Ch. 6.4A - Express each of the following ratios in the form...Ch. 6.4A - Write three other proportions from the following...Ch. 6.4A - The rise and span for a house roof are identified...Ch. 6.4A - Gear ratios are used in industry. A gear ratio is...Ch. 6.4A - A Boeing 747 jet is approximately 230 ft long and...Ch. 6.4A - A recipe calls for 1tsp of mustard seeds, 3c of...Ch. 6.4A - The electrical resistance of a wire, measured in...Ch. 6.4A - In a photograph of a father and his daughter, the...Ch. 6.4A - The amount of gold in jewelry and other products...Ch. 6.4A - If Amber is paid 8 per hour for typing, the table...Ch. 6.4A - a. In Room A, there are 1 man and 2 women; in Room...Ch. 6.4A - A car travels about 26 miles on 1 gallon of gas,...Ch. 6.4A - Susan bikes 20 miles in 2 hours, while Nick bikes...Ch. 6.4A - There are 40 students in a classroom, and the...Ch. 6.4A - The ratio of oblong tables to round tables at a...Ch. 6.4A - A recipe uses 112 c flour to make 2 dozen cookies....Ch. 6.4A - Use a bar model to solve each of the following. a....Ch. 6.4A - Use the bar model to solve the following exercise....Ch. 6.4B - Answer the following regarding the letters in the...Ch. 6.4B - Solve for x in each of the following proportions....Ch. 6.4B - There are 5 adult drivers to each teenage driver...Ch. 6.4B - A candle is 30 in. long. After burning for 12 min,...Ch. 6.4B - A rectangular yard has a width-to-length ratio of...Ch. 6.4B - A grasshopper can jump 20 times its length. If...Ch. 6.4B - Juan found out that after working for 9 months he...Ch. 6.4B - At Rattlesnake School, the teacher-student ratio...Ch. 6.4B - At a particular time, the ratio of the height of...Ch. 6.4B - The following table shows several possible widths...Ch. 6.4B - Find three sets of x- and y-values for the...Ch. 6.4B - If rent is 850 for each 2 weeks, how much is the...Ch. 6.4B - Leonardo da Vinci in his drawing Vitruvian man...Ch. 6.4B - On a city map, a rectangular park has a length of...Ch. 6.4B - Lees car will travel 240 mi on 15 gal of gas. How...Ch. 6.4B - Some model railroads use an 0 scale in replicas of...Ch. 6.4B - a. On an American flag, what is the ratio of stars...Ch. 6.4B - On an American flag, the ratio of the length of...Ch. 6.4B - If xy=ab,a0,x0 is true, what other proportion do...Ch. 6.4B - If a certain recipe takes 112c flour and 4 c milk,...Ch. 6.4B - To estimate the number of fish in a lake,...Ch. 6.4B - Prob. 22ACh. 6.4B - Prob. 23ACh. 6.4B - Prob. 24ACh. 6.4B - The ratio of oblong tables to round tables at a...Ch. 6.4B - Prob. 26ACh. 6.4B - Prob. 27ACh. 6.4B - Use bar model to solve each of the following. a....Ch. 6.4B - The ratio of Marks books to Nans Book is 11:3....Ch. 6.CR - CHAPTER 6 REVIEW For each of the following, draw a...Ch. 6.CR - Write three rational numbers equal to 56.Ch. 6.CR - Write each of the following rational numbers in...Ch. 6.CR - Prob. 4CRCh. 6.CR - CHAPTER 6 REVIEW Find the additive and...Ch. 6.CR - Prob. 6CRCh. 6.CR - Prob. 7CRCh. 6.CR - Prob. 8CRCh. 6.CR - CHAPTER 6 REVIEW John has 5414 yd of material. a....Ch. 6.CR - Prob. 10CRCh. 6.CR - Prob. 11CRCh. 6.CR - CHAPTER 6 REVIEW. Find two rational numbers...Ch. 6.CR - Prob. 13CRCh. 6.CR - Prob. 14CRCh. 6.CR - Prob. 15CRCh. 6.CR - Prob. 16CRCh. 6.CR - Prob. 17CRCh. 6.CR - The carvings of the faces at Mount Rushmore in...Ch. 6.CR - A student argues that the following fraction is...Ch. 6.CR - Prob. 20CRCh. 6.CR - If 23 of all students in the academy are female...Ch. 6.CR - Explain which is greater: 119 or 1210.Ch. 6.CR - Prob. 23CRCh. 6.CR - Prob. 24CRCh. 6.CR - Prob. 25CRCh. 6.CR - Mike drew the following picture to find out how...Ch. 6.CR - Tom tossed a coin 30 times and got 17 heads. a....Ch. 6.CR - Which bottle of juice is a better buy cost per...Ch. 6.CR - Eighteen-karat gold contains 18 parts grams gold...Ch. 6.CR - A recipe for fruit salad serves 4 people. It calls...Ch. 6.CR - If the scale on a drawing of a house is 1cm to...Ch. 6.CR - Prob. 32CRCh. 6.CR - Prob. 33CRCh. 6.CR - Prob. 34CRCh. 6.CR - Prob. 35CRCh. 6.CR - Prob. 36CRCh. 6.CR - Prob. 37CRCh. 6.CR - Prob. 38CRCh. 6.CR - Use Xs below to illustrate each of the following....Ch. 6.CR - Prob. 40CRCh. 6.CR - Prob. 41CRCh. 6.CR - Prob. 42CRCh. 6.CR - Prob. 43CRCh. 6.CR - The ratio of boys to girls in a class is 4:3. a....Ch. 6.CR - Prob. 45CRCh. 6.CR - Prob. 46CRCh. 6.CR - Prob. 47CRCh. 6.CR - Prob. 48CRCh. 6.CR - Prob. 49CRCh. 6 - Prob. 1NTCh. 6 - Prob. 2NTCh. 6 - Prob. 3NTCh. 6 - Prob. 4NTCh. 6 - Prob. 5NTCh. 6 - Prob. 6NTCh. 6 - Prob. 7NT
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- Use the method of undetermined coefficients to solve the given nonhomogeneous system. dx dt = 2x + 3y − 8 dy dt = −x − 2y + 6 X(t) =arrow_forwardAs discussed in Section 8.3, the Markowitz model uses the variance of the portfolio as the measure of risk. However, variance includes deviations both below and above the mean return. Semivariance includes only deviations below the mean and is considered by many to be a better measure of risk. (a) Develop a model that minimizes semivariance for the Hauck Financial data given in the file HauckData with a required return of 10%. Assume that the five planning scenarios in the Hauck Financial Services model are equally likely to occur. Hint: Modify model (8.10)–(8.19). Define a variable ds for each scenario and let ds ≥ R − Rs with ds ≥ 0. Then make the objective function: Min 1 5 5 s = 1 ds2. Let FS = proportion of portfolio invested in the foreign stock mutual fund IB = proportion of portfolio invested in the intermediate-term bond fund LG = proportion of portfolio invested in the large-cap growth fund LV = proportion of portfolio invested in the large-cap value fund…arrow_forwardCalculus lll May I please have the blank lines completed, and final statement defined as a result? Thank you for the support!arrow_forward
- For each month of the year, Taylor collected the average high temperatures in Jackson, Mississippi. He used the data to create the histogram shown. Which set of data did he use to create the histogram? A 55, 60, 64, 72, 73, 75, 77, 81, 83, 91, 91, 92\ 55,\ 60,\ 64,\ 72,\ 73,\ 75,\ 77,\ 81,\ 83,\ 91,\ 91,\ 92 55, 60, 64, 72, 73, 75, 77, 81, 83, 91, 91, 92 B 55, 57, 60, 65, 70, 71, 78, 79, 85, 86, 88, 91\ 55,\ 57,\ 60,\ 65,\ 70,\ 71,\ 78,\ 79,\ 85,\ 86,\ 88,\ 91 55, 57, 60, 65, 70, 71, 78, 79, 85, 86, 88, 91 C 55, 60, 63, 64, 65, 71, 83, 87, 88, 88, 89, 93\ 55,\ 60,\ 63,\ 64,\ 65,\ 71,\ 83,\ 87,\ 88,\ 88,\ 89,\ 93 55, 60, 63, 64, 65, 71, 83, 87, 88, 88, 89, 93 D 55, 58, 60, 66, 68, 75, 77, 82, 86, 89, 91, 91\ 55,\ 58,\ 60,\ 66,\ 68,\ 75,\ 77,\ 82,\ 86,\ 89,\ 91,\ 91 55, 58, 60, 66, 68, 75, 77, 82, 86, 89, 91, 91arrow_forwardIn this problem, we consider a Brownian motion (W+) t≥0. We consider a stock model (St)t>0 given (under the measure P) by d.St 0.03 St dt + 0.2 St dwt, with So 2. We assume that the interest rate is r = 0.06. The purpose of this problem is to price an option on this stock (which we name cubic put). This option is European-type, with maturity 3 months (i.e. T = 0.25 years), and payoff given by F = (8-5)+ (a) Write the Stochastic Differential Equation satisfied by (St) under the risk-neutral measure Q. (You don't need to prove it, simply give the answer.) (b) Give the price of a regular European put on (St) with maturity 3 months and strike K = 2. (c) Let X = S. Find the Stochastic Differential Equation satisfied by the process (Xt) under the measure Q. (d) Find an explicit expression for X₁ = S3 under measure Q. (e) Using the results above, find the price of the cubic put option mentioned above. (f) Is the price in (e) the same as in question (b)? (Explain why.)arrow_forwardProblem 4. Margrabe formula and the Greeks (20 pts) In the homework, we determined the Margrabe formula for the price of an option allowing you to swap an x-stock for a y-stock at time T. For stocks with initial values xo, yo, common volatility σ and correlation p, the formula was given by Fo=yo (d+)-x0Þ(d_), where In (±² Ꭲ d+ õ√T and σ = σ√√√2(1 - p). дго (a) We want to determine a "Greek" for ỡ on the option: find a formula for θα (b) Is дго θα positive or negative? (c) We consider a situation in which the correlation p between the two stocks increases: what can you say about the price Fo? (d) Assume that yo< xo and p = 1. What is the price of the option?arrow_forward
- The Course Name Real Analysis please Solve questions by Real Analysisarrow_forwardWe consider a 4-dimensional stock price model given (under P) by dẴ₁ = µ· Xt dt + йt · ΣdŴt where (W) is an n-dimensional Brownian motion, π = (0.02, 0.01, -0.02, 0.05), 0.2 0 0 0 0.3 0.4 0 0 Σ= -0.1 -4a За 0 0.2 0.4 -0.1 0.2) and a E R. We assume that ☑0 = (1, 1, 1, 1) and that the interest rate on the market is r = 0.02. (a) Give a condition on a that would make stock #3 be the one with largest volatility. (b) Find the diversification coefficient for this portfolio as a function of a. (c) Determine the maximum diversification coefficient d that you could reach by varying the value of a? 2arrow_forwardQuestion 1. Your manager asks you to explain why the Black-Scholes model may be inappro- priate for pricing options in practice. Give one reason that would substantiate this claim? Question 2. We consider stock #1 and stock #2 in the model of Problem 2. Your manager asks you to pick only one of them to invest in based on the model provided. Which one do you choose and why ? Question 3. Let (St) to be an asset modeled by the Black-Scholes SDE. Let Ft be the price at time t of a European put with maturity T and strike price K. Then, the discounted option price process (ert Ft) t20 is a martingale. True or False? (Explain your answer.) Question 4. You are considering pricing an American put option using a Black-Scholes model for the underlying stock. An explicit formula for the price doesn't exist. In just a few words (no more than 2 sentences), explain how you would proceed to price it. Question 5. We model a short rate with a Ho-Lee model drt = ln(1+t) dt +2dWt. Then the interest rate…arrow_forward
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