STATISTICAL TECHNIQUES IN BUS.+ECON.
18th Edition
ISBN: 9781260239478
Author: Lind
Publisher: RENT MCG
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Question
Chapter 6, Problem 68CE
(a)
To determine
To find: The
(b)
To determine
To find: The probability that the market would be up 29 or more years and the mean number of years that the market is “up”.
(c)
To determine
To write: The conclusion regarding the “January theory.
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Suppose that at the beginning of Year 1 you invested 10,000 USD in the Stivers mutual fund and 5,000 USD in the Trippi mutual fund. The value of each investment at the end of each subsequent year is provided in the table below.
Year
Stivers
Trippi
Year 1
$11,000
$5,600
Year 2
$12,000
$6,300
Year 3
$12,900
$6,900
Year 4
$13,900
$7,600
Year 5
$14,900
$8,600
Year 6
$16,000
$9,300
Year 7
$17,100
$9,900
Year 8
$18,300
$10,700
a. Compute the mean annual return for the Stivers mutual fund and for the Trippi mutual fund. Do not round intermediate calculations.
Mean annual return (to 3 decimals) Stivers is ____% and ____% for Trippi
b. Which mutual fund performed better?
3. Juwan and his friend Jamie are watching their favorite tech penny stocks in the stock market. The initial value of Jamie's stock was $4.00, while Juwan's stock's initial value was $0.00. Because of some incredible turns in the
market this morning, the stocks are now increasing in value. Every time Juwan's stock rises by $4.00, Jamie's stock increases by $3.00. If these stock gains remain constant throughout the day, perform the following:
a. Convert this scenario into two linear equations; show both the standard form and the slope-intercept form for both equations.
b. Explain how you decided to label the axes.
c. What are the realistic bounds for the domain and range of today's stock gains? Explain your answer.
If an investment company started in business with $1 million of capital on January 1 and, because of mismanagement, lost and average of $873 every day for a year, what would be its financial situation on the last day of the year?
Chapter 6 Solutions
STATISTICAL TECHNIQUES IN BUS.+ECON.
Ch. 6 - The possible outcomes of an experiment involving...Ch. 6 - The Pizza Palace offers three sizes of cola. The...Ch. 6 - FILE Compute the mean and variance of the...Ch. 6 - FILE Compute the mean and variance of the...Ch. 6 - FILE Compute the mean and variance of the...Ch. 6 - Which of these variables are discrete and which...Ch. 6 - FILE The information below is the number of daily...Ch. 6 - FILE The director of admissions at Kinzua...Ch. 6 - Prob. 7ECh. 6 - Prob. 8E
Ch. 6 - Ninety-five percent of the employees at the J. M....Ch. 6 - In a binomial situation, n = 4 and = .25....Ch. 6 - Prob. 10ECh. 6 - Prob. 11ECh. 6 - Assume a binomial distribution where n = 5 and =...Ch. 6 - An American Society of Investors survey found 30%...Ch. 6 - Prob. 14ECh. 6 - Prob. 15ECh. 6 - FILE A telemarketer makes six phone calls per hour...Ch. 6 - Prob. 17ECh. 6 - Prob. 18ECh. 6 - Prob. 4SRCh. 6 - Prob. 19ECh. 6 - In a binomial distribution, n = 12 and = .60....Ch. 6 - FILE In a recent study, 90% of the homes in the...Ch. 6 - FILE A manufacturer of window frames knows from...Ch. 6 - Prob. 23ECh. 6 - Prob. 24ECh. 6 - Prob. 5SRCh. 6 - Prob. 25ECh. 6 - A population consists of 15 items, 10 of which are...Ch. 6 - Prob. 27ECh. 6 - Prob. 28ECh. 6 - Prob. 29ECh. 6 - Prob. 30ECh. 6 - Prob. 6SRCh. 6 - Prob. 31ECh. 6 - Prob. 32ECh. 6 - Prob. 33ECh. 6 - Automobiles arrive at the Elkhart exit of the...Ch. 6 - It is estimated that 0.5% of the callers to the...Ch. 6 - Prob. 36ECh. 6 - Prob. 37CECh. 6 - For each of the following indicate whether the...Ch. 6 - Prob. 39CECh. 6 - Prob. 40CECh. 6 - Prob. 41CECh. 6 - The payouts for the Powerball lottery and their...Ch. 6 - In a recent study, 35% of people surveyed...Ch. 6 - Prob. 44CECh. 6 - An auditor for Health Maintenance Services of...Ch. 6 - Prob. 46CECh. 6 - Prob. 47CECh. 6 - The Bank of Hawaii reports that 7% of its credit...Ch. 6 - Prob. 49CECh. 6 - Prob. 50CECh. 6 - Prob. 51CECh. 6 - Prob. 52CECh. 6 - Prob. 53CECh. 6 - Prob. 54CECh. 6 - Prob. 55CECh. 6 - Prob. 56CECh. 6 - Prob. 57CECh. 6 - Prob. 58CECh. 6 - Prob. 59CECh. 6 - Prob. 60CECh. 6 - Prob. 61CECh. 6 - Prob. 62CECh. 6 - Prob. 63CECh. 6 - Prob. 64CECh. 6 - The National Aeronautics and Space Administration...Ch. 6 - Prob. 66CECh. 6 - Prob. 67CECh. 6 - Prob. 68CECh. 6 - Prob. 69CECh. 6 - Prob. 70DACh. 6 - Prob. 71DA
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- Suppose that at the beginning of Year 1 you invested $10,000 in the Stivers mutual fund and $5,000 in the Trippi mutual fund. The value of each investment at the end of each subsequent year is provided in the table below. Year Stivers Trippi Year 1 $10,500 $5,600 Year 2 $11,800 $6,400 Year 3 $13,000 $6,900 Year 4 $14,000 $7,700 Year 5 $14,900 $8,600 Year 6 $16,100 $9,200 Year 7 $17,000 $9,900 Year 8 $18,200 $10,600 Compute the mean annual return for the Stivers mutual fund and for the Trippi mutual fund. Do not round intermediate calculations. Stivers Trippi Mean annual return (to 3 decimals) % % Which mutual fund performed better?arrow_forwardSuppose that at the beginning of 2004 you invested $8,500 in the Stivers mutual fund and $5,000 in the Trippi mutual fund. The value of each investment at the end of each subsequent year is provided in the table below: Year Stivers Trippi 1 $11,000 $5,600 2 $12,000 $6,300 3 $13,000 $6,900 4 $14,000 $7,600 5 $15,000 $8,500 6 $16,500 $9,200 7 $17,500 $9,900 8 $19,000 $10,600 Which of the two mutual funds performed better over this time period?arrow_forwardIn his The New York Times op-ed on January 29. 2018, Paul Krugman wrote: "Like Bitcoins, $100 bills aren't much use for ordinary transactions: Most shops won't accept them. But "Benjamins" are popular with thieves, drug dealers evaders. And while most of us can go years without seeing a $100 bill, there are a lot of those bills out there - more than a trillion dollars' worth, accountin percent of the value of U.S. currency in circulation"[R39] (a) How many Benjamins are there in circulation? (b) Use the data in this exercise to estimate the value of U.S. currency in circulation. (c) Confirm that estimate with a web search. (d) Why is the $100 bill a "Benjamin"?arrow_forward
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