1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Iteru [2.4K]
3 years ago
5

An online investment blogger advises investing in mutual funds that have performed badly the past year because 'regression to th

e mean tells us that they will do well next year.'
Is he correct?
Business
1 answer:
Kipish [7]3 years ago
7 0

Answer:

The correct answer is: No, he is not correct.

Explanation:

Regression to the mean is a statistical phrase that tries to explains that is something happened at the first attempt, it is likely to happen again at a second attempt and if it happens at the second attempt it is because it almost happened at the first attempt.

Then, following the concept of regression to the mean,<em> if a mutual fund performed badly on the last period, it is likely to perform even worse in the current period</em>. Thus, the online investment blogger is wrong.

You might be interested in
In which of the following situations will the acting party be liable for the tort of negligence? Explain fully.
Eddi Din [679]

Answer:

C). Shannon's physician gives her some pain medication and tells her not to drive after she takes it, as the medication induces drowsiness. In spite of the doctor's warning, Shannon decides to drive to the store while on the medication. Owing to her lack of alertness, she fails to stop at a traffic light and crashes into another vehicle, causing a passenger in that vehicle to be injured.

Explanation:

Negligence is defined as the 'tort whereby a duty of reasonable or standard care as defined by law is breached, causing damage or any conduct short of .'

In the above situation, Shanon was aware of the after-effects of the medication she took as her physician instructs her to not drive because she may feel drowsy. Despite this warning, her decision to drive to the store reflects her negligence i.e. 'intentional action that falls below the legal standard for preventing unreasonable damage or harm.' Thus, <u>option C</u> is the correct answer.

5 0
3 years ago
How might a recent college graduate's investment portfolio differ from someone who is nearing retirement
borishaifa [10]
Someone who is retiring has more experience on what to invest in than someone who is still getting used to knowing what to invest in  
4 0
3 years ago
Read 2 more answers
The Labor-Management Reporting and Disclosure Act (Landrum-Griffin Act) was designed to protect the rights of individual union m
Artist 52 [7]

Answer:

The correct answer is the first option: True.

Explanation:

To begin with, the "Labor Management Reporting Disclosure Act", or also known as Landrum-Griffin Act, was the name given to a law from the United States that basically has its main purpose in the protection of rights from the individual members of the Unions. This law focus particulary in the relationship that exists between the Union as an organization of power and the members inside due to a matter of internal affairs in the search of reducing abuse of power and position as well. That is why that this law seeks for the benefits of the individuals parties in the wake of the increase of their rights.

5 0
3 years ago
Upon graduating from college, you make an annual salary of $58,381. You set a goal to double it in the future. If your salary in
Fynjy0 [20]

Answer: 9.20

Explanation:

In finance there is a rule for calculating this called 'The Rule of 70'.

With The Rule of 70, you are able to calculate the amount of time it will take an investment to double if you divide 70 by the growth rate of the investment.

In this scenario, the investment is your salary and the growth rate is 7.61% pee year.

The amount of time it will take to double is therefore,

= 70 / 7.61

= 9.19842312746

= 9.20 years.

It will take 9.20 years to double.

7 0
3 years ago
. For a certain item, the cost-minimizing order quantity obtained with the basic EOQ model is 200 units, and the total annual in
Zielflug [23.3K]

Answer:

Inventory cost will be $3

So option (b) is correct option

Explanation:

We have given that carrying and setup cost is $600

So carrying and setup cost = $600

And EOQ = 200 units

We have to find the inventory carrying cost per year

We know that inventory carrying cost is given by

inventory carrying cost =\frac{carrying\ and\ setup\ cost}{EOQ}=\frac{600}{200}=$3

So option (b) will be correct option

4 0
3 years ago
Other questions:
  • Ron operates a garbage pickup business. he contracts to pick up garbage from an apartment complex for the next 52 weeks at a pri
    12·2 answers
  • Case ScenarioOver the past four years, the LSS organization, a nonprofit organization headquartered in Minneapolis, MN, has beco
    12·1 answer
  • Which of the followin high school courses would be most helpful to a person who wanted to be substance abuse counselor?
    15·2 answers
  • David is the HR manager at Garden Pipes International. For filling the vacancies created by recent retirements in the finance​ d
    9·1 answer
  • U.S. car dealers sell both used cars and new cars each year. However, only the sales of the new cars count toward GDP. Why does
    15·1 answer
  • A job search should be treated like a full time job.
    15·1 answer
  • The Balanced Scorecard is a useful tool for helping managers translate their strategy into action in the following areas:
    12·1 answer
  • In an interview, a tough question _____. A. May show the interviewer how you think under pressure b. May be designed to rattle y
    9·2 answers
  • Define a quality cycle​
    15·1 answer
  • Pincus Associates uses the allowance method to account for bad debts. During 2021, its first year of operations, Pincus provided
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!