document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1197604>Question 1197604</A>: <I><SPAN STYLE=\"word-break: break-all;\"> roblem Statement<BR>\n" );
document.write( "For this problem, you will be answering questions based on data for a fictional company ABC. Stock for <BR>\n" );
document.write( "company ABC had the following 12-month closing prices per share.<BR>\n" );
document.write( "Month 1 2 3 4 5 6 7 8 9 10 11 12<BR>\n" );
document.write( "Closing <BR>\n" );
document.write( "Price<BR>\n" );
document.write( "$7.60 $7.80 $8 $9 $9.20 $9.40 $9.60 $10 $10.60 $11.80 $12.40 $14.20<BR>\n" );
document.write( "Additional data for company ABC: Dividend = $0.50 per share.<BR>\n" );
document.write( "Questions<BR>\n" );
document.write( "1. Calculate the following.<BR>\n" );
document.write( "a. Mean of Closing Prices - 𝑥<BR>\n" );
document.write( "b. Standard Deviation of Closing Prices - s<BR>\n" );
document.write( "2. Determine if any of the closing prices would be considered “volatile.”<BR>\n" );
document.write( "a. 𝑥 − 2 𝑠<BR>\n" );
document.write( "b. 𝑥 + 2 𝑠<BR>\n" );
document.write( "c. List any months that have “volatile” closing prices.<BR>\n" );
document.write( "3. Suppose you own 1000 shares in company ABC. What is the annual dollar amount you earn based on <BR>\n" );
document.write( "the dividend?<BR>\n" );
document.write( "4. Use Excel to plot the table of closing prices. Use the horizontal axis to represent the month and the <BR>\n" );
document.write( "vertical axis to represent the closing price. Use the following link for a tutorial on graphing in Excel. <BR>\n" );
document.write( "https://www.youtube.com/watch?v=3o11OlLgYDo<BR>\n" );
document.write( "5. Based on the plot from (4), would you advise selling the stock now or holding off to wait for higher <BR>\n" );
document.write( "closing prices? Provide a brief explanation for your answer </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #830943 by </B><A HREF=/tutors/aboutme.mpl?userid=ewatrrr><B>ewatrrr(24785)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=ewatrrr><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/cgi-bin/show-face.mpl?user=ewatrrr><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=830943\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> Closing Price:<BR>\n" );
document.write( "$7.60 $7.80 $8 $9 $9.20 $9.40 $9.60 $10 $10.60 $11.80 $12.40 $14.20<BR>\n" );
document.write( "1. mean = $9.97 and s = 1.994\r<BR>\n" );
document.write( "\n" );
document.write( "2. mean ~10 and 2s ~ 4<BR>\n" );
document.write( "   10 ± 4 = (6, 14)  <BR>\n" );
document.write( "  $14.20 month 12 > 2 sd from mean\r<BR>\n" );
document.write( "\n" );
document.write( "4.  <BR>\n" );
document.write( " <IMG STYLE=\"max-width:80%;\" SRC=\"/cgi-bin/display-illustration.mpl?tutor=ewatrrr&illustration_name=25th.jpg\">. </SPAN>\n" );
document.write( "</TD></TR></TABLE>\n" );