One of the disadvatages of using historical returns to estimates the market risk premium is that the past may not be good guide
1 answer:
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Answer:
Explanation:
If r is the number of successes out of n trials , then the sample proportion of success =
For binomial experiment , if the population probability of success p on a single trial is not given , then the best point estimate for probability of success p on a single trial is the sample proportion of successes.
i.e. a point estimate for the probability of success p on a single trial :
Hence, a point estimate for the probability of success p on a single trial =
Percent markup based on the selling price: 28.1%
Explanation:
The cost of the TV for the seller was
Of this, the markup of this price was 39%. Therefore, the value of the markup (in dollars) with respect to the cost for the seller was
So, this was the markup relative to the cost for the seller.
The price paid by the purchaser instead is
Therefore, the percent markup based on the selling price (paid by the purchaser) is:
Learn more about percentages:
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