A venture capital company feels that the rate of return (X) on a proposed investment is approximately normally distributed with mean 30% and standard deviation 10%.
(a) Find the probability that the return will exceed 55%.
(b) Find the probability that the return will be less than 25%
(c) What is the expected value of the return?
(d) Find the 75th percentile of returns.

Answers

Answer 1

Answer:

a) 0.0062 = 0.62% probability that the return will exceed 55%.

b) 0.3085 = 30.85% probability that the return will be less than 25%

c) 30%.

d) The 75th percentile of returns is 36.75%.

Step-by-step explanation:

Normal Probability Distribution

Problems of normal distributions can be solved using the z-score formula.

In a set with mean [tex]\mu[/tex] and standard deviation [tex]\sigma[/tex], the z-score of a measure X is given by:

[tex]Z = \frac{X - \mu}{\sigma}[/tex]

The Z-score measures how many standard deviations the measure is from the mean. After finding the Z-score, we look at the z-score table and find the p-value associated with this z-score. This p-value is the probability that the value of the measure is smaller than X, that is, the percentile of X. Subtracting 1 by the p-value, we get the probability that the value of the measure is greater than X.

Mean 30% and standard deviation 10%.

This means that [tex]\mu = 30, \sigma = 10[/tex]

(a) Find the probability that the return will exceed 55%.

This is 1 subtracted by the p-value of Z when X = 55. So

[tex]Z = \frac{X - \mu}{\sigma}[/tex]

[tex]Z = \frac{55 - 30}{10}[/tex]

[tex]Z = 2.5[/tex]

[tex]Z = 2.5[/tex] has a p-value of 0.9938

1 - 0.9938 = 0.0062

0.0062 = 0.62% probability that the return will exceed 55%.

(b) Find the probability that the return will be less than 25%

p-value of Z when X = 25. So

[tex]Z = \frac{X - \mu}{\sigma}[/tex]

[tex]Z = \frac{25 - 30}{10}[/tex]

[tex]Z = -0.5[/tex]

[tex]Z = -0.5[/tex] has a p-value of 0.3085

0.3085 = 30.85% probability that the return will be less than 25%.

(c) What is the expected value of the return?

The mean, that is, 30%.

(d) Find the 75th percentile of returns.

X when Z has a p-value of 0.75, so X when Z = 0.675.

[tex]Z = \frac{X - \mu}{\sigma}[/tex]

[tex]0.675 = \frac{X - 30}{10}[/tex]

[tex]X - 30 = 0.675*10[/tex]

[tex]X = 36.75[/tex]

The 75th percentile of returns is 36.75%.


Related Questions

62. A chemist mixes 15 liters of 40 percent acid solution and 25 liters of 20 percent acid solution.
What percent of the mixture is acid?

Answers

40% of 15 L = 6 L of acid

20% of 25 L = 5 L of acid

This means the mixture contains a total of 11 L of acid, and with a total volume of 15 L + 25 L = 40 L, that means the mixture is at a concentration of

(11 L acid) / (40 L solution) = 0.275 = 27.5%

Which are correct representations of the inequality -3(2x-5) <5(2 - x)? Select two options.

Answers

Answer:

-6x+15 < 10-5x

x>5

third equation, first graph

Step-by-step explanation:

Help please asap!!! Thank you!

Answers

Answer:

Here's your answer.

Step-by-step explanation:

Just multiply in

a certain number n is 6 more than a second number and 9 less than a third number. in terms of n, which of the following expressions represents the second number

Answers

Answer:

n-6

Step-by-step explanation:

it is given that the first number is n

for the second number:

n is 6 more than a second number

more than means that we should subtract n by 6 to get the second number since n is 6 more than the second number

second number: n-6

fill in the missing blinks

Answers

3-4: Definition of supplementary angles
5: Simplify

The time between surface finish problems in a galvanizing process is exponentially distributed with a mean of 41 hours. A single plant operates three galvanizing lines that are assumed to operate independently. Round your answers to four decimal places (e.g. 98.7654).
(a) What is the probability that none of the lines experiences a surface finish problem in 41 hours of operation?
(b) What is the probability that all three lines experience a surface finish problem between 24 and 41 hours of operation?

Answers

Answer:

a) The probability that none of the lines experiences a surface finish problem in 41 hours of operation is 0.0498.

b)The probability that all three lines experience a surface finish problem between 24 and 41 hours of operation is 0.0346.

Step-by-step explanation:

[tex]Mean = \frac{1}{\lambda} = 41\\P(X\leq x)= 1-e^{-\lambda x}[/tex]

[tex]P(X>x)= e^{-\lambda x}[/tex]

a)

[tex]P(x> 41, y>41, Z>41) = (P(X>41))^{3}\\\\P(X>41)=e^{^{-\frac{41}{41}}}=e^{-1}[/tex]

[tex]P(x> 41, y>41, Z>41) = \left (e^{-1} \right )^{3}\\\\P(x> 41, y>41, Z>41) = e^{-3} = 0.0498.[/tex]

b)

[tex]\lambda =\frac{24}{41}\\P(X=1)=e^{-\lambda }\cdot \lambda =\left ( e^{-0.585} \right )\left ( 0.585 \right )\\P(X=1)=0.326[/tex]

For 3 where, P(X=1, Y==1, Z=1)

                     [tex]= (0.326)^{3} \\\\= 0.0346[/tex]

need help please help ​

Answers

Answer:

∆ ADB = ∆ ADC

Step-by-step explanation:

Find the area of
1.Table
Length = 123cm
Width = 82cm
Height = 76cm

2.Living room
Length = 422cm
Width = 278cm
Height = 253cm

3. Door
Length = 87cm
Width = 2.3cm
Height = 208cm​

Answers

Answer:

1. 766,536cm^3

2. 29,680,948cm^3

3. 41,620.8cm^3

Step-by-step explanation:

1. 123×82 = 10,086 10,086×76 = 766,536

2. 422×278 = 117,316 117,316×253 = 29,680,948

3. 87×2.3 = 200.1 200.1×208 = 41,620.8

Hope this helps! :)

I want to find the inverse for the following function, but I think there is a mistake. Identify the first mistake in the following process. Explain how to fix the mistake.

Answers

Answer:

Step-by-step explanation:

The only mistake is in the last line. You need to replace the y by x, So:

f-1(x) = (x - 4)/-8

It's usual to put the negative on the top so it becomes

-(x -4)/8

- and we can simplify this a bit more to give

f-1(x) = (4 - x)/5

cuanto es 2 mas 2 mas 82 menos 72?​

Answers

Answer:

14

Step-by-step explanation:

2+2+82-72

86 - 72 = 14

the answer is 14 since 2+2+82-72 equals that

The force F (in pounds) needed on a wrench handle to loosen a certain bolt varies inversely with the length L (in inches) of the handle. A force of 40 pounds is needed when the handle is 7 inches long. If a person needs 20 pounds of force to loosen the bolt, estimate the length of the wrench handle. Round answer to two decimal places if necessary.
in inches

Answers

Answer:

14 inches

Step-by-step explanation:

Since F is inversely proportional to L,

[tex]f = \frac{k}{l} \\ when \: f = 40 \: l \: = 7 \\ \frac{k}{7} = 40 \\ k = 280 \\ when \: f = 20 \\ 20 = \frac{280}{l} \\ l = 14[/tex]

Type the standard form of "three thousand four hundred eight."
The solution is

Answers

Answer:

the standard form of "three thousand four hundred eight is

3408

hope it is helpful to you ☺️

In standard form we can write 3408 as 3.408 x [tex]10^{3}[/tex].

We have the following statement - three thousand four hundred eight

We have to write it in standard form.

What do you understand by Standard form of a Number ?

A number when expressed as a decimal number, between 1 and 10, multiplied by a power of 10, is said to be in standard form.

According to the question, we have -

three thousand four hundred eight.

In the digit form, we can write it as - 3408.

In Standard form, we can write it as -

3408 = 3.408 x [tex]10^{3}[/tex]

Hence, in standard form we can write 3408 as 3.408 x [tex]10^{3}[/tex].

To solve more questions on Standard form, visit the link below -

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(a) Starting with the geometric series [infinity] xn n = 0 , find the sum of the series [infinity] nxn − 1 n = 1 , |x| < 1.

Answers

Let f(x) be the sum of the geometric series,

[tex]f(x)=\displaystyle\frac1{1-x} = \sum_{n=0}^\infty x^n[/tex]

for |x| < 1. Then taking the derivative gives the desired sum,

[tex]f'(x)=\displaystyle\boxed{\dfrac1{(1-x)^2}} = \sum_{n=0}^\infty nx^{n-1} = \sum_{n=1}^\infty nx^{n-1}[/tex]

Solve the equation −96=3(8x)^(5/3).

Answers

Answer:

x= - 1

Step-by-step explanation:

Compute the total cost per year of the following pair of expenses. Then complete the​ sentence: On an annual​ basis, the first set of expenses is​ _______% of the second set of expenses.
Vern buys seven lottery tickets each week at a cost of ​$3 each and spends ​$900 per year on his textbooks.

Answers

Answer:

So 912$ is 58% of 1584 $

Step-by-step explanation:

Which best describes what forms in nuclea fission?
O two smaller, more stable nuclei
O two larger, less stable nuclei
• one smaller, less stable nucleus
one larger, more stable nucleus

Answers

Answer:

One larger, more stable nucleus

d. one larger , more stable nucleus .

4x + x - 3-9 + 4x = 6 ??​

Answers

Answer:

[tex]x=2[/tex]

Step-by-step explanation:

-------------------------

Given:

[tex]4x+x-3-9+4x=6[/tex]

---------->>>>

Combine like terms.

[tex]9x-12=6[/tex]

---------->>>>

Add 12 to both sides.

[tex]9x=18[/tex]

---------->>>>

Divide both sides by 9.

[tex]x=2[/tex]

-------------------------

Hope this is helpful.

Is a linear model or a quadratic model a better fit? Quadratic model graph quadratic model linear model

Answers

Linear model is a better fit due to my evidence of doing this answer

Suppose a line parallel to side BC of triangle ABC intersects AB and AC at point D and E, respectively. Find the length of AE if DB = 32, AB= 48 and AC = 39

Answers

Answer: AE=13

Step-by-step explanation: took test

Atomic No.
Element
Atomic Wt.
Europium
To take a systematic sample, first choose any number between one and five and write it here: k-23
Using the atomic number to count off elements, let the k value you just chose represent the first element in your
sample. Then, count off every fifth element thereafter. For instance, if you chose k-2, your sample will include
Helium (2), Nitrogen (7), Magnesium (12), and so forth. List each atomic number and atomic weight, starting with k
and adding 5 to the atomic number cach time.
Atomic No. Element
Atomic Wt.
3. Lithium 6.94
63
Isla6
8
v४
16
oxygen
Erbium 167.26
13 nluminum 24.98 23 Tantalum
180.45
18 Argon
39.95
28
platinum
195.DK
23 Vanadium 50.94 83 Bismuth 208.48
Niin
28
86
158.69
Radium 226
33
Arsenic 74.92
93 Neptunium 237
38 Strontium
98
87.62
Californium 251
43 Technutium 98
103 Lawrencium 262
UR
cocaina [12.41
108
Hassium
277
Iodine 126.9
113
No element
o
658 Cerium 140:11 118 Unumactiun
63
294
Find the mean atomic weight of this sample and enter it here: x xytomate : 137
AP statistics

Answers

Answer:

Atomic No.

Element

Atomic Wt.

Europium

To take a systematic sample, first choose any number between one and five and write it here: k-23

Using the atomic number to count off elements, let the k value you just chose represent the first element in your

sample. Then, count off every fifth element thereafter. For instance, if you chose k-2, your sample will include

Helium (2), Nitrogen (7), Magnesium (12), and so forth. List each atomic number and atomic weight, starting with k

and adding 5 to the atomic number cach time.

Atomic No. Element

Atomic Wt.

3. Lithium 6.94

63

Isla6

8

v४

16

oxygen

Erbium 167.26

13 nluminum 24.98 23 Tantalum

180.45

18 Argon

39.95

28

platinum

195.DK

23 Vanadium 50.94 83 Bismuth 208.48

Niin

28

86

158.69

Radium 226

33

Arsenic 74.92

93 Neptunium 237

38 Strontium

98

87.62

Californium 251

43 Technutium 98

103 Lawrencium 262

UR

cocaina [12.41

108

Hassium

277

Iodine 126.9

113

No element

o

658 Cerium 140:11 118 Unumactiun

63

294

Find the mean atomic weight of this sample and enter it here: x xytomate : 137

AP statistics

Step-by-step explanation:

number of bald eagles in a country a discrete random​ variable, a continuous random​ variable, or not a random​ variable?

Answers

Answer:

Discrete random variable.

Step-by-step explanation:

Discrete variable:

Countable numbers(0,1,2,3,...)

Continuous variable:

Can assume decimal values, such as 0.5, 2.5,...

Number of bald eagles:

Number of bald eagles is a countable value, either there a 0, 100, 1000,... so it is a discrete random variable.

Answer:

Discrete random variable.

Step-by-step explanation:

70. If set A consists of (3, 5, 7, 9) and set B consists of (1, 2, 3, 5, 8, 13), what is the average of the union of set A and set B?

A) 6
B) 3
C) 48
D) 56

⚠️will give brainliest to the best answer

Answers

Step-by-step explanation:

the answer would be 6. brrr

A) 6

{1,2,3,5,7,8,9,13}

The average is going to be 6.

A regression analysis between sales (in $1000s) and price (in dollars) resulted in the following equation: ŷ = 50,000 − 8x The above equation implies that an increase of _____. a. $8 in price is associated with an increase of $8,000 in sales b. $1 in price is associated with a decrease of $8,000 in sales c. $1 in price is associated with a decrease of $42,000 in sales d. $1 in price is associated with a decrease of $8 in sales

Answers

Answer:

b. $1 in price is associated with a decrease of $8,000 in sales

Step-by-step explanation:

Linear function:

A linear function has the following format:

[tex]y = mx + b[/tex]

In which m is the slope, which represents by how much y changes when x changes by 1.

ŷ = 50,000 − 8x

This means that [tex]m = -8[/tex], in thousands of dollars, so when the price x increases by 1, the sales will be decrease by $8,000, and thus, the correct answer is given by option b.

The equation implies that an increase (b) $1 in price is associated with a decrease of $8,000 in sales

The regression equation is given as:

[tex]\^y= 50000 - 8\^x[/tex]

A linear regression equation is represented as:

[tex]\^y= b_o+ b_1\^x[/tex]

Where:

b1 represents the slope or the unit rate of the equation

By comparison:

[tex]b_1 =-8[/tex]

Because the value of b1 is negative;

Then it means that, the unit rate represents a decrement

Hence, the equation implies that (b) $1 in price is associated with a decrease of $8,000 in sales

Read more about regression equations at:

https://brainly.com/question/25987747

How many boxes could you stack safely on a pallet if the pallet is 5 feet deep, five feet across, every box is 1 x 1 and the maximum safe stacking height is 5 boxes? *

Answers

Answer:

25 boxes could be stacked safely on the pallet.

Step-by-step explanation:

To determine how many boxes could you stack safely on a pallet if the pallet is 5 feet deep, five feet across, every box is 1 x 1 and the maximum safe stacking height is 5 boxes, the following calculation should be performed:

Pallet = 5 x 5 = 25 square feet

Box = 1 x 1 = 1 square foot

25/1 = 25

Therefore, 25 boxes could be stacked safely on the pallet.

Y=2x-8 and intercept at (-4,-1)

Answers

Answer:

y=2x+7

Step-by-step explanation:

y=2x-8

2 is the gradient.

-4 is x

-1 is y

-1=2(-4)+c

-1=-8+c

-1+8=c

c=7

therefore,

y=2x+7

If a translation of T.3. - 8(x, y) is applied to square
ABCD, what is the y-coordinate of B'?
4
3
0-12
A
В
-8
-E
5
2
3
4
0
D
C

Answers

Answer:

Its C.  -6

Step-by-step explanation:

The coordinates of point B after translation are (-2, -6).

What is Graph?

Graph is a mathematical representation of a network and it describes the relationship between lines and points.

A translation T(-3, -8) follows the rule:

A translation is a movement of the graph either horizontally parallel to the -axis or vertically parallel to the -axis.

(x, y)--->(x-3, y-8)

From the diagram you can see that point B has coordinates (1,2).

(1, 2)--->(1-3, 2-8)

(1, 2)--->(-2, -6)

According to the previous rule this point will transform in point B' with coordinates (-2,-6),

Hence, the coordinates of point B after translation are (-2, -6).

To learn more on Graph click:

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one particular ice cream parlor has 28 different flavors available. How many ice cream cups are possible if you order 4 scoops? this is a combination

Answers

Answer:

20,475 cream cups are possible.

Step-by-step explanation:

The order in which the flavors are chosen is not important, which means that the combinations formula is used to solve this question.

Combinations formula:

[tex]C_{n,x}[/tex] is the number of different combinations of x objects from a set of n elements, given by the following formula.

[tex]C_{n,x} = \frac{n!}{x!(n-x)!}[/tex]

In this question:

4 cups from a set of 28.

So

[tex]C_{28,4} = \frac{28!}{4!24!} = 20475[/tex]

20,475 cream cups are possible.

PLEASE HELP ASAP!!! I don’t know how to do this problem or where to start! How do I solve this?

Answers

Answer:

W = 4.95

Step-by-step explanation:

You want to start by writing down what you know, and forming a system of equations.

L= length W= width

2L+2W=14.7    

L= 2.4

On the left side of the equation, you're adding all your side lengths, and on the right, is the total perimeter. (Also could be written L+L+W+W = 14.7)

You would then substitute L from the bottom equation into the top equation to get:

2(2.4) +2W=14.7

Solving:

4.8+2w=14.7

W= 4.95

To check your answer simply add all the sides together and make sure it equals your perimeter. You can also plug W and L back into the original equation.

Lucian was hiking through a field directly toward his car, which was parked on a long, straight road perpendicular to his path, when he came to a swamp. He turned 55 degrees to the right and hiked 3 miles in that direction to reach the road. How far did he need to walk down the road to reach his car? (Please include a labeled diagram so step by step solution is easy to follow).

Answers

So basically she has 16 miles when she walked

Does the expression represents a positive or negative 3(-2 1/3)

Answers

Answer:

Positive

Step-by-step explanation:

This is an equation, with distribution in it. The number on the outside is positive, and the one inside is negative. Furthermore, since the number on the outside is larger than the one inside, the outcome will be positive.

Answer:

positive

Step-by-step explanation:

when both positive and negative will multiply then will  makes negatives. so negative is correct option.

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