Answer:
Step-by-step explanation:
An option to buy a stock is priced at $150. If the stock closes above 30 next Thursday, the option will be worth $1000. If it closes below 20, the option will be worth nothing, and if it closes between 20 and 30, the option will be worth $200. A trader thinks there is a 50% chance that the stock will close in the 20-30 range, a 20% chance that it will close above 30, and a 30% chance that it will fall below 20.
a) Let X represent the price of the option
<h3><u> x P(X=x)
</u></h3>
$1000 20/100 = 0.2
$200 50/100 = 0.5
$0 30/100 = 0.3
b) Expected option price

Therefore expected gain = $300 - $150 = $150
c) The trader should buy the stock. Since there is an positive expected gain($150) in trading that stock option.
Answer:300,000
Step-by-step explanation: if the 4 was a 5 or higher then the answer would’ve been 400,00 but since the number next to the underlined digit is 4 then it goes to 300,00. (4 or below leave it alone 5 or above give it a shove)
Answer:
78.5 inches
Step-by-step explanation:
The formula for the circumference of a circle is
.
So the circumference of this circle is
(in)
C - no 2 points can be on the same vertical line
Adding and subtracting with negative numbers
First, recognize that adding and subtracting are, from one viewpoint, the same thing. Subtracting a number is the same thing as adding the negative of that number. For example, 4 – 12 is the same as 4 + –12 (which, because the order of terms doesn't matter with addition, is the same as –12 + 4). With that in mind, here are the rules for adding with negative and positive numbers:
If both numbers are positive, then the answer is positive.
If both numbers are negative, then the answer is negative.
If the numbers have different signs, the answer takes the sign of the higher number.
Subtracting a negative number is the same as adding the positive of that number. For example, 5 – –4 is the same as 5 + 4.
Multiplying and dividing with negative numbers if the numbers have different signs, the answer is negative.