Answer:
b. 48
Explanation:
The computation of the expected value of the future stock price is as follows;
= Respective future price × respective probabilities
= $40 × 0.5 + $50 × 0.3 + $65 × 0.2
= $20 + $15 + $13
= $48
hence, the expected value of the future stock price is $48
Therefore the correct option is b.
The same is relevant
Answer:
D. lack of control of employees.
Explanation:
The scope of control depends on the number of employees who report to a manager. Each control control point needs supervision. Broader and more autonomous controls by employees. The broader the range of control, the more likely it is that a supervisor loses control over employees
Answer:
False
Explanation:
Credentials are an official verification, from an accredited source, attesting to capability. Credentials are an official verification, from an accredited source, attesting to capability.
Answer:
The answer is C: 14300
Note: The actual answer is 14296, <em>and </em>the closest to that was option C.
Explanation:
Formula to calculate forecast using Exponential smoothing:
Where,
= New Forecast
= Previous period's forecast.
= Smoothing Constant
= Previous period's Actual Demand.
- Calculating the forecast for period 5:
Data:
Putting <em>values in the formula:</em>




Answer: 7.24%
Explanation:
From the question, we are told that:
3 years treasury securities have an interest rate = 1.92%
10 years treasury security has an interest rate = 5.62%
Let the 7 year treasury security interest in 3 years be represented by z.
Based on the expectation theory
( 1+1.92%)^3 × (1 + z%)^7 = (1 + 5.62%)^10
(1+0.0192)^3 × (1 + z%)^7 = (1 + 0.0562)^10
(1.0192)^3 (1 + z%)^7 = (1.0562)^10
1.05871(1 + z%)^7 = 1.72767
Divide both side by 1.05871
(1 + z%)^7 = 1.72767/1.05871
(1 + z%)^7= 1.6319
1 + z% = 1.6319^1/7
1 + z% = 1.6319^0.1429
1 + z% = 1.0724
z% = 1.0724 - 1
z% = 0.0724
We then convert the decimal to percentage
z = 7.24%
The market believes that 7-year Treasury securities will be yielding 7.24% in 3 years .