USING AND UNDERSTANDING MATHEMATICS W/
7th Edition
ISBN: 9780135239919
Author: BENNETT AND BR
Publisher: PEARSON
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Chapter 8.C, Problem 19E
(a)
To determine
To Calculate:
Russia’s net population growth rate due to births and deaths (i.e., neglect immigration) in 1980, 1995, and 2016 for Russia
(b)
To determine
To Calculate:
To describe in words the general trend in the country’s (Russia) population growth rate. Based on this trend, predict how the country’s population will change over the next 20 years and if you think that your prediction is reliable and explain.
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Question 2. An American option on a stock has payoff given by F = f(St) when it is exercised
at time t. We know that the function f is convex. A person claims that because of convexity,
it is optimal to exercise at expiration T. Do you agree with them?
Question 4. We consider a CRR model with So == 5 and up and down factors u = 1.03 and
d = 0.96. We consider the interest rate r = 4% (over one period). Is this a suitable CRR
model? (Explain your answer.)
Question 3. We want to price a put option with strike price K and expiration T. Two financial
advisors estimate the parameters with two different statistical methods: they obtain the same
return rate μ, the same volatility σ, but the first advisor has interest r₁ and the second advisor
has interest rate r2 (r1>r2). They both use a CRR model with the same number of periods to
price the option. Which advisor will get the larger price? (Explain your answer.)
Chapter 8 Solutions
USING AND UNDERSTANDING MATHEMATICS W/
Ch. 8.A - A town’s population increases in one year from...Ch. 8.A - A town’s population increases in one year from...Ch. 8.A - The balance owed your credit card doubles from...Ch. 8.A - The number Of songs in your iPod has increased...Ch. 8.A - Which of the following is in example of...Ch. 8.A - On a chessboard with 64 squares, you place 1 penny...Ch. 8.A - At 11:00 you place a single bacterium in a bottle,...Ch. 8.A - Consider the bacterial population described in...Ch. 8.A - Consider the bacterial population described in...Ch. 8.A - Which of the following is not true of any...
Ch. 8.A - Describe basic differences between linear growth...Ch. 8.A - 2. Briefly explain how repeated doublings...Ch. 8.A - Briefly summarize the Story Of the bacteria in the...Ch. 8.A - Explain the meaning Of the two key facts about...Ch. 8.A - Decide whether each of the following statements...Ch. 8.A - Suppose you had a magic hank account in which your...Ch. 8.A - A small town that grows exponentially can become a...Ch. 8.A - H. Human population has been growing exponentially...Ch. 8.A - Linear or Exponential? State whether the growth...Ch. 8.A - Prob. 10ECh. 8.A - Linear or Exponential? State whether the growth...Ch. 8.A - Prob. 12ECh. 8.A - Linear or Exponential? State whether the growth...Ch. 8.A - Linear or Exponential? State whether the growth...Ch. 8.A - Linear or Exponential? State whether the growth...Ch. 8.A - 9-16: Linear or Exponential? State whether the...Ch. 8.A - Chessboard Parable. Use the chessboard parable...Ch. 8.A - Chessboard Parable. Use the chessboard parable...Ch. 8.A - Chessboard Parable. Use the chessboard parable...Ch. 8.A - Chessboard Parable. Use the chessboard parable...Ch. 8.A - Magic Penny Parable. Use the magic penny parable...Ch. 8.A - Magic Penny Parable. Use the magic penny parable...Ch. 8.A - Magic Penny Parable. Use the magic penny parable...Ch. 8.A - Magic Penny Parable. Use the magic penny parable...Ch. 8.A - Bacteria in a Bottle Parable. Use the bacteria...Ch. 8.A - Bacteria in a Bottle Parable. Use the bacteria...Ch. 8.A - Bacteria in a Bottle Parable. Use the bacteria...Ch. 8.A - Bacteria in a Bottle Parable. Use the bacteria...Ch. 8.A - 29. Human Doubling. Human population in the year...Ch. 8.A - Doubling Time versus Initial Amount. a. Would you...Ch. 8.A - Facebook Users. The table shows the number of...Ch. 8.A - Prob. 32ECh. 8.A - Exponential Growth. Identify at least two news...Ch. 8.A - Prob. 34ECh. 8.A - Prob. 35ECh. 8.B - Prob. 1QQCh. 8.B - Suppose your salary increases at a rate of 4.5%...Ch. 8.B - Which of the following is not a good approximation...Ch. 8.B - A town’s population doubles in 23 years. Its...Ch. 8.B - Radioactive tritium (hvdrogen-3) has a halt-life...Ch. 8.B - Radioactive uramum-235 has a hall-life of about...Ch. 8.B - The population of an endangered species decreases...Ch. 8.B - log10108= a.100,000,000 b. 108 c.8Ch. 8.B - A rural popular ion decreases at a rate of 20% per...Ch. 8.B - Prob. 10QQCh. 8.B - What is a doubling tune? Suppose a population has...Ch. 8.B - Prob. 2ECh. 8.B - State the approximate doubting time formula and...Ch. 8.B - Prob. 4ECh. 8.B - Prob. 5ECh. 8.B - 6. State the approximate hall-life formula and the...Ch. 8.B - 7. Briefly describe exact doubling time and...Ch. 8.B - 8. Give an example in which it is important to use...Ch. 8.B - Our town is growing with a doubling time of 25...Ch. 8.B - Our town is growing at a rate of 7% per year, so...Ch. 8.B - A toxic chemical decays with a hall-life of 10...Ch. 8.B - The hall-life of plutomum-239 is about 24,000...Ch. 8.B - Logarithms. Refer to the Brief Review on p. 488....Ch. 8.B - Logarithms. Refer to the Brief Review on p. 488....Ch. 8.B - Prob. 15ECh. 8.B - Prob. 16ECh. 8.B - 13-24: Logarithms. Refer to the Brief Review on p....Ch. 8.B - Prob. 18ECh. 8.B - Logarithms. Refer to the Brief Review on p. 488....Ch. 8.B - Logarithms. Refer to the Brief Review on p. 488....Ch. 8.B - 13-24: Logarithms. Refer to the Brief Review on p....Ch. 8.B - Prob. 22ECh. 8.B - Prob. 23ECh. 8.B - 23-24. Logarithm Calculations
24. Using the...Ch. 8.B - Doubling Time. Each exercise gives a doubling time...Ch. 8.B - Doubling Time. Each exercise gives a doubling time...Ch. 8.B - Doubling Time. Each exercise gives a doubling time...Ch. 8.B - 25-32: Doubling Time. Each exercise gives a...Ch. 8.B - Doubling Time. Each exercise gives a doubling time...Ch. 8.B - Doubling Time. Each exercise gives a doubling time...Ch. 8.B - Doubling Time. Each exercise gives a doubling time...Ch. 8.B - 25-32: Doubling Time. Each exercise gives a...Ch. 8.B - World Population. In 2017, estimated world...Ch. 8.B - World Population. In 2017, estimated world...Ch. 8.B - 31. Rabbits. A community of rabbits begins with an...Ch. 8.B - Prob. 36ECh. 8.B - Approximate Doubling Time Formula. Use the...Ch. 8.B - 37-40: Approximate Doubling Time Formula. Use the...Ch. 8.B - Approximate Doubling Time Formula. Use the...Ch. 8.B - 37-40: Approximate Doubling Time Formula. Use the...Ch. 8.B - Half-Life. Each exercise gives a half-life for an...Ch. 8.B - Half-Life. Each exercise gives a half-life for an...Ch. 8.B - Half-Life. Each exercise gives a half-life for an...Ch. 8.B - 41 -48: Half-Life. Each exercise gives a half-life...Ch. 8.B - 41-48: Half-Life. Each exercise gives a half-life...Ch. 8.B - 41 -48: Half-Life. Each exercise gives a half-life...Ch. 8.B - 41-48: Half-Life. Each exercise gives a half-life...Ch. 8.B - 41 -48: Half-Life. Each exercise gives a half-life...Ch. 8.B - Approximate Half-Life Formula. Use the approximate...Ch. 8.B - 49-52: Half-Life Formula. Use the approximate...Ch. 8.B - Approximate Half-Life Formula. Use the approximate...Ch. 8.B - 49-52: Half-Life Formula. Use the approximate...Ch. 8.B - Prob. 53ECh. 8.B - Exact Formulas. Compare the doubling times found...Ch. 8.B - Exact Formulas. Compare the doubling times found...Ch. 8.B - Exact Formulas. Compare the doubling times found...Ch. 8.B - Prob. 57ECh. 8.B - 58. Nuclear Weapons. Thermonuclear weapons use...Ch. 8.B - Prob. 59ECh. 8.B - Yucca Mountain. The U.S. government spent nearly...Ch. 8.B - Crime Rate. The homicide rate decreases at a rate...Ch. 8.B - Drug Metabolism. A particular antibiotic is...Ch. 8.B - Atmospheric Pressure. The pressure of Earth's...Ch. 8.B - Prob. 64ECh. 8.B - 65. Radioactive Half-Life. Find a news story that...Ch. 8.B - Prob. 66ECh. 8.B - Prob. 67ECh. 8.B - Prob. 68ECh. 8.B - Prob. 69ECh. 8.C - World population is currently rising by about 80...Ch. 8.C - The most recent doubling of world population took...Ch. 8.C - The primary reason for the rapid growth of human...Ch. 8.C - The carrying capacity of the Earth is defined as...Ch. 8.C - Which of the billowing would cause estimates of...Ch. 8.C - 6. Recall the bacteria in a bottle example from...Ch. 8.C - When researchers project that human population...Ch. 8.C - Prob. 8QQCh. 8.C - Prob. 9QQCh. 8.C - Prob. 10QQCh. 8.C - Based on Figure 8.3, contrast the changes in human...Ch. 8.C - Prob. 2ECh. 8.C - Haw do today’s birth and death rates compare to...Ch. 8.C - Prob. 4ECh. 8.C - Prob. 5ECh. 8.C - What is overshot and collapse? Under what...Ch. 8.C - Prob. 7ECh. 8.C - 8. If birth rates fall more than death rates, the...Ch. 8.C - The carrying capacity of our planet depends only...Ch. 8.C - to rapid increases in computing technology, we...Ch. 8.C - In the wild, we always expect the population of...Ch. 8.C - 12. Past civilizations that no longer exist must...Ch. 8.C - Varying Growth Rates. Starting from a 2017 world...Ch. 8.C - Varying Growth Rates. Starting from a 2017 world...Ch. 8.C - Varying Growth Rates. Starting from a 2017 world...Ch. 8.C - Varying Growth Rates. Starting from a 2017 world...Ch. 8.C - Birth and Death Rates. The following table gives...Ch. 8.C - 17-20: Birth and Death Rates. The following table...Ch. 8.C - 17-20: Birth and Death Rates. The following table...Ch. 8.C - Birth and Death Rates. The following table gives...Ch. 8.C - 21. Logistic Growth. Consider a population that...Ch. 8.C - Logistic Growth. Consider a population that begins...Ch. 8.C - U.S Population. Starting from an estimated U.S....Ch. 8.C - Prob. 24ECh. 8.C - Prob. 25ECh. 8.C - Prob. 26ECh. 8.C - Prob. 27ECh. 8.C - 28. Slower Growth. Repeat Exercise 27, but use a...Ch. 8.C - Prob. 29ECh. 8.C - World Carrying Capacity. For the given carrying...Ch. 8.C - 29-32: World Carrying Capacity. For the given...Ch. 8.C - 29-32: World Carrying Capacity. For the given...Ch. 8.C - Prob. 33ECh. 8.C - Prob. 34Ch. 8.C - Population Predictions. Find population...Ch. 8.C - Prob. 36ECh. 8.C - Prob. 37ECh. 8.C - Prob. 38ECh. 8.C - Prob. 39ECh. 8.C - Prob. 40ECh. 8.D - Prob. 1QQCh. 8.D - Prob. 2QQCh. 8.D - 3. What is a 0-decibel sound?
the softest sound...Ch. 8.D - 4. A sound of 85 decibels is defined to be
a. 85...Ch. 8.D - Prob. 5QQCh. 8.D - Prob. 6QQCh. 8.D - Prob. 7QQCh. 8.D - Prob. 8QQCh. 8.D - Prob. 9QQCh. 8.D - Prob. 10QQCh. 8.D - What is the magnitude scale for earthquakes? What...Ch. 8.D - What is the decibel scale? Describe how it is...Ch. 8.D - What is pH? What pH values define an acid, a base,...Ch. 8.D - What is acid rain? Why is it a serious...Ch. 8.D - An earthquake of magnitude 6 will do twice as much...Ch. 8.D - A 120-dB wand is 20% louder than a 100-dB sound.Ch. 8.D - If I double the amount of water in the cup, I'll...Ch. 8.D - The lake water was crystal clear, so It could not...Ch. 8.D - Earthquake Magnitudes. Use the earthquake...Ch. 8.D - Earthquake Magnitudes. Use the earthquake...Ch. 8.D - Earthquake Magnitudes. Use the earthquake...Ch. 8.D - Earthquake Magnitudes. Use the earthquake...Ch. 8.D - Earthquake Magnitudes. Use the earthquake...Ch. 8.D - 9-14: Earthquake Magnitudes. Use the earthquake...Ch. 8.D - The Decibel Scale. Use the decibel scale to answer...Ch. 8.D - 15-20: The Decibel Scale. Use the decibel scale to...Ch. 8.D - 15-20: The Decibel Scale. Use the decibel scale to...Ch. 8.D - The Decibel Scale. Use the decibel scale to answer...Ch. 8.D - The Decibel Scale. Use the decibel scale to answer...Ch. 8.D - Prob. 20ECh. 8.D - Prob. 21ECh. 8.D - Prob. 22ECh. 8.D - Prob. 23ECh. 8.D - Inverse Square Law. Use the inverse square law for...Ch. 8.D - 25-32: The pH Scale. Use the pH scale to answer...Ch. 8.D - 25-32: The pH Scale. Use the pH scale to answer...Ch. 8.D - 25-32: The pH Scale. Use the pH scale to answer...Ch. 8.D - Prob. 28ECh. 8.D - Prob. 29ECh. 8.D - Prob. 30ECh. 8.D - Prob. 31ECh. 8.D - Prob. 32ECh. 8.D - Logarithmic Thinking. Briefly describe, in words,...Ch. 8.D - 33-38: Logarithmic Thinking. Briefly describe, in...Ch. 8.D - Logarithmic Thinking. Briefly describe, in words,...Ch. 8.D - Logarithmic Thinking. Briefly describe, in words,...Ch. 8.D - Prob. 37ECh. 8.D - Prob. 38ECh. 8.D - 39. Sound and Distance.
The decibel level for...Ch. 8.D - 40. Variation in Sound with Distance. Suppose that...Ch. 8.D - Toxic Dumping in Acidified Lakes. Consider a...Ch. 8.D - Prob. 42ECh. 8.D - Earthquakes in the News. Find a recent news story...Ch. 8.D - Disasters. Find the death lolls for some of the...Ch. 8.D - Prob. 45ECh. 8.D - Prob. 46ECh. 8.D - Ocean Acidification. Research ocean acidification...
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