Answer:
Option A
Explanation:
We can be 90% confident that the mean amount of money spent at sporting events last year by all the students at this university is between $ 217 and $ 677.
The interval offered by option A, is the same result obtained by the student on his research. By the definition the confidence interval permit us to conclude that the mean of the population would be on that interval.
Answer:
It will be better to keep the old car.![\left[\begin{array}{cccc}$&$New&$Old&$Differential\\$purchase&-14000&&14000\\$Gasoline spending&-4292&-9479&-5187\\$repairs&&-7500&-7500\\$insurance&-4000&-2000&2000\\$Result&-22292&-18979&3313\\\end{array}\right]](https://tex.z-dn.net/?f=%5Cleft%5B%5Cbegin%7Barray%7D%7Bcccc%7D%24%26%24New%26%24Old%26%24Differential%5C%5C%24purchase%26-14000%26%2614000%5C%5C%24Gasoline%20spending%26-4292%26-9479%26-5187%5C%5C%24repairs%26%26-7500%26-7500%5C%5C%24insurance%26-4000%26-2000%262000%5C%5C%24Result%26-22292%26-18979%263313%5C%5C%5Cend%7Barray%7D%5Cright%5D)
Explanation:
gasoline spending:
old:
250 miles per week/ 24 miles per gallon= 10,41666666
then that x 52 weeks per year x 3.5 per gallon x 5 years
new:
250 / 53 = 4,716981
then this x 52 weeks x 3.5 per gallon x 5 years=
repairs:
1,500 x 5 years = 7,500
insurance:
800 x 5 = 4,000 new car insurance
400 x 5 = 2,000 old car insurance
Answer:
The optimal hedge is 0.642 and it means that the size of the future positions should be 64.2% of the exposure of the company in a 3 month-hedge.
Explanation:
optimal hedge ratio
= coefficient of correlation*(standard deviation of quarterly changes in the prices of a commodity/standard deviation of quarterly changes in a futures price on the commodity)
= 0..8*(0.65/0.81)
= 0.642
Therefore, The optimal hedge is 0.642 and it means that the size of the future positions should be 64.2% of the exposure of the company in a 3 month-hedge.
Answer:
Richard is trying to understand if his product or service is substitutable.
Explanation:
According to the resource based theory, businesses gain competitive advantages over other businesses in the industry based on the strength of their resources.
For competitive advantage to be sustainable however, such resources must be rare, and not easily imitated or substituted.
Richard is carrying out research on his competitors to find out what they have to offer, to know if his product can be easily substituted or replaced.
Answer:
Market value
Explanation:
The market value of a product is the price at which a buyer is willing to purchase a good irrespective of prevalent price of a commodity. It is that amount a buyer and seller are willing to strike a deal for given normal market conditions.
In this scenario John originally bought his five years ago for $300,000. Its current value is $350,000. His real estate agent notified him that a buyer just made an offer on his home for $365,000.
Despite the house now being $350,000, $365,000 is the market price at which the buyer and seller are willing to settle.
