What is bond laddering?

1 answer:

3 0

Answer:A bond ladder is a portfolio of individual bonds that mature on different dates. For example, you might be able to build a ten year bond ladder with a bond maturing every year. As the bonds at the lower end of the ladder mature, the proceeds can be reinvested at the long end, in new long-term bonds.

Step-by-step explanation:

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Kerry’s grandmother, Mrs. Reynoso, is helping Kerry pay for guitar lessons. She has set up a special savings account to pay for

s2008m [1.1K]

Answer:

Month 5 is when it will be at $100

I hope this helps!

Step-by-step explanation:

x---0-----1-----2-----3----4-----5

y-300-260-220-180-140-100

y=40x+300

5 0

3 years ago

A real estate agent has 19 properties that she shows. She feels that there is a 30% chance of selling any one property during a

netineya [11]

Answer:

$P(X \geq 5)=1-P(X$

We can find the individual probabilities:

$P(X=0)=(19C0)(0.3)^0 (1-0.3)^{19-0}=0.00114$

$P(X=1)=(19C1)(0.3)^1 (1-0.3)^{19-1}=0.0092$

$P(X=2)=(19C2)(0.3)^2 (1-0.3)^{19-2}=0.0358$

$P(X=3)=(19C3)(0.3)^3 (1-0.3)^{19-3}=0.0869$

$P(X=4)=(19C4)(0.3)^4 (1-0.3)^{19-4}=0.1491$

And replacing we got:

$P(X \geq 5) = 1-[0.00114+0.009282+0.0358+0.0869+0.149]= 0.7178$

Step-by-step explanation:

Previous concepts

The binomial distribution is a "DISCRETE probability distribution that summarizes the probability that a value will take one of two independent values under a given set of parameters. The assumptions for the binomial distribution are that there is only one outcome for each trial, each trial has the same probability of success, and each trial is mutually exclusive, or independent of each other".

Solution to the problem

Let X the random variable of interest, on this case we now that:

$X \sim Binom(n=19, p=0.3)$