A consultant believes that the price of a stock in a stock exchange will grow at a rate of 5% per week with a standard deviation of 1%. An investor believes the stock won’t grow as quickly. The changes in the price (%) recorded for 12 consecutive weeks are as follows: 3, 4, 2, 1, 3, 6, 1, 1, 2, 2, 3, 1. Who would you agree? the consultant or the investor? Explain.
A consultant believes that the price of a stock in a stock exchange will grow at a rate of 5% per week with a standard deviation of 1%. An investor believes the stock won’t grow as quickly. The changes in the price (%) recorded for 12 consecutive weeks are as follows: 3, 4, 2, 1, 3, 6, 1, 1, 2, 2, 3, 1. Who would you agree? the consultant or the investor? Explain.
Glencoe Algebra 1, Student Edition, 9780079039897, 0079039898, 2018
18th Edition
ISBN:9780079039897
Author:Carter
Publisher:Carter
Chapter10: Statistics
Section10.3: Measures Of Spread
Problem 26PFA
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- A consultant believes that the price of a stock in a stock exchange will grow at a rate of 5% per week with a standard deviation of 1%. An investor believes the stock won’t grow as quickly. The changes in the price (%) recorded for 12 consecutive weeks are as follows: 3, 4, 2, 1, 3, 6, 1, 1, 2, 2, 3, 1. Who would you agree? the consultant or the investor? Explain.
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