Answer:
The percent of the area under the density curve where 
is more that 3 is 25 %.
Step-by-step explanation:
Since the density curve is a linear function, the area under the curve can be calculated by the geometric formula for a triangle, defined by the following expression:
(1)
Where:
- Area, in square units.
- Base of the triangle, in units.
- Height of the triangle, in units.
The percent of the area is the ratio of triangle areas under the density curve multiplied by 100 per cent, that is:
The percent of the area under the density curve where is more that 3 is 25 %.
Answer:
i need at least a pick of the problom
Step-by-step explanation:
Answer:
-1
Step-by-step explanation:
Pick two points on the line
(0,1) and ( 2,-1)
Using the slope formula
m = (y2-y1)/(x2-x1)
= ( -1 -1)/(2-0)
= -2/2
= -1
To solve these type of problem you have to make the denominator the same or use the claculator.
let us do this problem by making the denominator the same.
So, now. the one with the largest numerator is the largest fraction
In this case,
is the largest which is equal to
.
So, the largest fraction is
.
<h2>
The required "option D) 3.09" is correct.</h2>
Step-by-step explanation:
Given,
A portfolio has a E[r] = 12 %, and
A standard deviation (
) = 18 %
We know that,
Specify utility by U = E(r) – 0.5A
U = 0.12– 0.5(A) × 
= 0.12 - 0.5 × A × 0.0162
In order for the risky portfolio to be preferred to bills,
The following condition must have:
0.12 – 0.0162A > 0.07
⇒ A < 
= 3.09
A must be less than 3.09 for the risky portfolio to be preferred to bills.
Thus, the required "option D) 3.09" is correct.
