‼️please help‼️
Find Freedas weekly take-home pay (net pay)

Answer:

Step-by-step explanation:

Step-by-step explanation:

first Pythagoras to get PT :

85² = 77² + PT²

7225 = 5929 + PT²

PT² = 1296

PT = 36

second Pythagoras to get ST :

39² = PT² + ST² = 36² + ST²

1521 = 1296 + ST²

ST² = 225

ST = 15

third Pythagoras to get TR :

97² = ST² + TR² = 15² + TR²

9409 = 225 + TR²

TR² = 9184

TR = 95.83318841... ≈ 96

The equation that represents the third side of the triangle is x + 64 = 104 and its solution is 40 units.

The polygonal shape of a triangle has a number of sides and three independent variables. Angles in the triangle add up to 180°.

The perimeter of the triangle is determined by adding together all of its sides.

The perimeter of a triangle is 104 units. The combined length of two of the sides of the triangle is 64 units.

Let the third side be 'x'. Then the equation is given as,

x + 64 = 104

x = 104 - 64

x = 40 units

The equation that represents the third side of the triangle is x + 64 = 104 and its solution is 40 units.

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The constant of the expression represents the  installation charge, and the coefficient of x represents the number of computer.

Expressions in math are mathematical statements that have a minimum of two terms containing numbers or variables, or both, connected by an operator in between.

Given that, an equation that the total cost of the computers, including an installation charge for all the computers:

y = $115x+$100

y is the total cost.

Here the constant of the expression $100 represents the installation charge and the coefficient of x represents the number of computer,

For 1 computer, the total cost be:

y = $215

For 2 computers the total cost be:

y = $330

Hence, the constant of the expression represents the  installation charge, and the coefficient of x represents the number of computer.

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x represents the increase in the length and width of the garden from the expression.

The area of Rectangle is length times of width.

Ishan garden is in the shape of a rectangle.

The length of the garden is 15 feet and width is 5 feet.

He plans to increase the length and width of his garden.

The total amount of fencing is given as expression

(x+15)+(x+5)+(x+15)+(x+5)

We have to check what the x represents in the expression.

The x represents the increase in the length and width of the garden.

Hence,  x represents the increase in the length and width of the garden.

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9/16 square units is the calculated area of the region r using double integration.

The procedure where two variables, x and y, are involved and you must integrate with each of them is known as a double integral or double integration technique. The area of a given function beneath a curve is calculated using this integration method.

The area of a region, the volume below the surface, and the average value of a function of two variables over a rectangular region may all be determined using double integrals.

A two-variable function, f (x, y), integral over a region R is referred to as a double integral. Iterative integration may be used to get the double integral if R = [a, b] [c, d] (integrate first with respect to y, and then integrate with respect to x). The solution can be seen on the attached image below.

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Question correction:

See on the attached image.

The linear equation in the form of y = c is the horizontal line, parallel to the x-axis passing through the point (0,c), because in this equation the x-intercept is 0.

A linear equation is an equation in which the highest power of the variable is always 1.

The line y = c, is always parallel to x-axis because here if we compare to general equation of a line y = mx+c, the m is zero that means the slope is zero and also the x-intercept is zero.

Therefore, the line y = c is the horizontal line, parallel to the x-axis.

Hence, the linear equation in the form of y = c is the horizontal line, parallel to the x-axis passing through the point (0,c), because in this equation the x-intercept is 0.

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Probability of winning, you guess the position of each digit is 0.00833 and Probability of winning when you know the first correct piece is 0.04167.

There are 5 pieces to form a car.

Total number of arrangement of these 5 pieces is 5! = 5×4×3×2×1 = 120 ways

Of these 120 arrangements only 1 arrangement will form a proper car

(a) Probability that each position's guess is correct is = 1/ 120

Thus, the probability of getting all the guesses correct is 0.00833 or 0.833%.

(b) It is given that we know the first correct piece.

That is we need to guess the other 4 from the 4 remaining pieces.

Total number of arrangement of these 5 pieces is 4!

= 4×3×2×1 = 24 ways

Of these 24 arrangements only 1 arrangement will form a correct arrangement with the known first piece.

Probability that each position's guess is correct = 1/24

Thus, the probability of getting all the guesses correct when we know the first correct piece is 0.04167 or 4.17%.

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The entries of x, 5, 2, and -4, are the coefficients in front of the vectors v1, v2, and v3 respectively.

To find the vectors v1, v2, and v3, we need to perform the matrix-vector multiplication Az = A * x.

A = [3 -2 -4 -5 -2 3]

x = [5 2 -4]

Az = [3 -2 -4 -5 -2 3] * [5 2 -4] = [35 -8 -52 -34 -12 22]

So, the vectors v1, v2, and v3 can be represented as follows:

v1 = [35]

v2 = [-8]

v3 = [-52 -34 -12 22]

These vectors represent the components of the result Az in the same order as they appear in the multiplication. The values of x, 5, 2, and -4, are the coefficients in front of the vectors v1, v2, and v3 respectively.

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____ The given question is incomplete, the complete question s given below:

Consider the matrix A = [ 3 -2 -4 -5 -2 3 ] and the vector x = [5 2 -4] When multiplying A by z on the right, the result Az is a linear combination of three vectors v1, v2, v3, where the entries of x play the role of the coefficients in front of those vectors, as follow (5)v1 + (2)v2 + ( - 4)v3. What are these vectors v1, v2, v3.

Answer:

to inform, to persuade, and to entertain

Step-by-step explanation:

The conversion gives 39 Galloon = 147.63106 Liters

The same attribute is expressed using a unit conversion, but in a different unit of measurement. For instance, time can be expressed in minutes rather than hours, and distance can be expressed in kilometres, feet, or any other measurement unit instead of miles.

Given:

We have to convert 39 galloon to liter

As, 1 Galloon =  3.7854118 Liters

Now, 39 Galloon= 39 x 3.7854118 Liters

                            = 147.63106 Liters

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The variance of the sample data is equal to 197.3463 kg^2.

In Statistics, the standard deviation of a data sample is the square root of the variance and as such, this given by the following mathematical expression:

Standard deviation, δ = √Variance

By making variance the subject of formula, we have the following:

Variance = δ²

By taking the square of standard deviation, the variance would be calculated as follows:

Variance = δ²

Variance = 14.0480²

Variance = 197.3463 kg^2.

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The measure of the height of the triangle is 3 / 8 units.

The branch of mathematics that sets up a relationship between the sides and the angles of the right-angle triangle is termed trigonometry.

The trigonometric functions, also known as circular, angle, or goniometric functions in mathematics, are real functions that link the angle of a right-angled triangle to the ratios of its two side lengths.

Given that the triangle has sides, 3 / 4 cm, 1 cm, and 5 / 4 cm.

The angle of the triangle is,

tanθ = ( 1 ) / ( 3 / 4 )

tanθ = 1.33

θ = 53.6°

The height will be,

h = ( 3 / 4 ) x sin53.4

h = 0.6

h = 4 / 5 cm

Therefore, the measure of the height of the triangle is 3 / 8 units.

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The volume of the set of stairs is 65 cubic feet.

In mathematics, the volume of an object is the amount of three-dimensional space that it occupies. It is a measure of the total amount of space that a solid object or a container can hold.

The volume of an object is usually measured in cubic units such as cubic meters ([tex]m^3[/tex]), cubic centimeters ([tex]cm^3[/tex]), or cubic feet (ft³), depending on the units of measurement used for its dimensions. The formula for calculating the volume of an object varies depending on its shape.

For simple shapes like cubes, rectangular prisms, and cylinders, the formulas for calculating their volumes are:

Volume of a cube = length x width x height

Volume of a rectangular prism = length x width x height

Volume of a cylinder = π x radius² x height

Where π (pi) is a mathematical constant approximately equal to 3.14, and the dimensions are all measured in the same units.

For irregular shapes, the volume can be determined using mathematical equations, computer modeling, or physical measurements. In real-world applications, volume is used in a variety of fields such as engineering, architecture, physics, and chemistry to describe the size, capacity, or amount of a substance or material.

To calculate the volume of the set of stairs, we need to find the volume of each rectangular block that makes up the stairs and then add them up. Let's first find the dimensions of each rectangular block:

The first block has dimensions 2 feet by 5 feet by 1 foot.

The second block has dimensions 8 feet by 5 feet by 1 foot.

To find the volume of each block, we multiply its length by its width by its height. So, the volume of the first block is:

Volume of first block = length x width x height

= 5 feet x 5 feet x 1 foot

= 25 cubic feet

The volume of the second block is:

Volume of second block = length x width x height

= 8 feet x 5 feet x 1 foot

= 40 cubic feet

Therefore, the total volume of the set of stairs is:

Total volume = volume of first block + volume of second block

= 25 cubic feet + 40 cubic feet

= 65 cubic feet

Therefore, the volume of the set of stairs is 65 cubic feet.

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Answer:

Step-by-step explanation:

Answer:

The volume of the set of stairs is 65 cubic feet.

What is volume ?

In mathematics, the volume of an object is the amount of three-dimensional space that it occupies. It is a measure of the total amount of space that a solid object or a container can hold.

The volume of an object is usually measured in cubic units such as cubic meters (), cubic centimeters (), or cubic feet (ft³), depending on the units of measurement used for its dimensions. The formula for calculating the volume of an object varies depending on its shape.

For simple shapes like cubes, rectangular prisms, and cylinders, the formulas for calculating their volumes are:

Volume of a cube = length x width x height

Volume of a rectangular prism = length x width x height

Volume of a cylinder = π x radius² x height

Where π (pi) is a mathematical constant approximately equal to 3.14, and the dimensions are all measured in the same units.

For irregular shapes, the volume can be determined using mathematical equations, computer modeling, or physical measurements. In real-world applications, volume is used in a variety of fields such as engineering, architecture, physics, and chemistry to describe the size, capacity, or amount of a substance or material.

According to given information :

To calculate the volume of the set of stairs, we need to find the volume of each rectangular block that makes up the stairs and then add them up. Let's first find the dimensions of each rectangular block:

The first block has dimensions 2 feet by 5 feet by 1 foot.

To find the volume of each block, we multiply its length by its width by its height. So, the volume of the first block is:

Volume of first block = length x width x height

= 5 feet x 5 feet x 1 foot

= 25 cubic feet

The volume of the second block is:

Volume of second block = length x width x height

= 8 feet x 5 feet x 1 foot

= 40 cubic feet

Therefore, the total volume of the set of stairs is:

Total volume = volume of first block + volume of second block

= 25 cubic feet + 40 cubic feet

= 65 cubic feet

Therefore, the volume of the set of stairs is 65 cubic feet.

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The completed table using this function rule is,

Input    (x)    1    4    5   7

Output (y)    2   11   14   26

Function rule is the rule of writing the relationship between the two variables, one is dependent and another is independent.

The table given in the problem is;

Input    (x)    1    4    5   7

Output (y)

Thus we need to write such a function, which gives the value of (y).

y=3x-1

Complete the table using the above function rule;

At (x) equal to 1,

y=3x-1

y=3(1)-1

y = 2

At (x) equal to 4,

y=3x-1

y=3(4)-1

y = 11

At (x) equal to 5,

y=3x-1

y=3(5)-1

y = 14

At (x) equal to 7,

y=3x-1

y=3(7)-1

y = 26

Hence,  the completed table is,

Input    (x)    1    4    5   7

Output (y)    2   11   14   26

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The point satisfies the given system of inequalities is (1, -1)

A system of inequalities is a set of two or more inequalities in one or more variables.

Given is a system of inequalities y < -x+2 and -2x+y < -2,

We know that, the solution set of a system of inequalities is given by studying the graph of the system, The solution set the region covered by lines of the both inequalities.

Plotting the graphs, of the system of inequalities, we get, the set of solution is the area covered with purple shade,

In that area only, (1, -1) lies.

Therefore, the point (1, -1) is the solution of the given system of inequalities

Hence, the point satisfies the given system of inequalities is (1, -1)

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Answer:

The monthly payment for the loan is $3,308.10

Step-by-step explanation:

To find the monthly payment for the loan, we can use the standard formula for a fixed-rate mortgage loan:

M = P [ i(1 + i)^n ] / [ (1 + i)^n - 1]

Where:

M = monthly payment

P = principal amount (the amount borrowed)

i = monthly interest rate (annual interest rate divided by 12)

n = total number of monthly payments (30 years * 12 months per year)

First, we need to calculate the monthly interest rate:

i = 8.5% / 12 = 0.00708333

Next, we can substitute the given values into the formula:

M = 450,000 [ 0.00708333(1 + 0.00708333)^360 ] / [ (1 + 0.00708333)^360 - 1]

Using a calculator, we can simplify this equation to find the monthly payment:

M = $3,308.10

Therefore, the monthly payment for the loan is $3,308.10

Let f : A → B be a function and the equivalent of stating that f is onto is statements (a), (c), and (e) and they are, (a) 3x EA, Vy E B f(x) y, (c) Vy e B, 3x A f(x) = y, and (e)  Vy e B, 3x E A, 3w E B f(x) = wɅy = w.

(a) 3x EA, Vy E B f(x) y denotes that at least one element x in A must exist for f(x) to equal y for every element function y in B. The meaning of onto is as follows.

(c) According to the formula Vy e B, 3x A f(x) = y, there must be at least one element x in A such that f(x) = y for each element y in B. Simply put, this is the same as assertion (a).

(e) Vy e B, 3x E A, 3w E B f(x) = wy = w indicates that at least one element x in A exists for every element y in B such that f(x) = y. The further requirement that g (x)

It is not equivalent to claim that f is onto based on statements (b) and (d).

(b) y B, Vxe A f(x) y denotes that there is at least one element in A such that f(x) = y for every element y in B. This is different from stating that f is onto because it does not imply that every element in B must actually be mapped to by f.

(d) According to the formula Vae E A, 3y B f(x) = y, there must be at least one element y in B such that f(x) = y for every element x in A. According to this definition, a function is total if it is specified for each element in domain A. The fact that f is assigned to some elements in B does not imply that f is necessarily onto those elements.

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Answer:

Increasing: (-infinity, 1)  and Decreasing: (1, -infinity)

Step-by-step explanation:

Increasing means as you go from left to right where the x values are increasing, the y values are also increasing.

Decreasing means as you go from left to right where the x values are increasing, the y values are decreasing.

The vector equation of system of equations is:

[tex]x_1\begin{bmatrix}a_1\\.\\.\\a_n\end{bmatrix}+x_n\begin{bmatrix}a_{m1}\\.\\.\\a_{mn}\end{bmatrix}=\begin{bmatrix}b_1\\.\\.\\b_n\end{bmatrix}[/tex]

And the matrix equation is,

[tex]\begin{bmatrix} 3 & -1\\10 & 8\\6 & -1\end{bmatrix}\begin{bmatrix}x_1\\x_2\end{bmatrix}=\begin{bmatrix}4\\2\\1\end{bmatrix}[/tex]

The system of eqyuations is:

3x₁- x₂ = 4

10x₁ + 8x₂ = 2

6x₁ - x₂ = 1

Consider the system of equations :

a₁x₁ + . . . + [tex]a_m x_m[/tex]= b₁

.

.

[tex]a_n[/tex]x₁ + . . . + [tex]a_{nm} x_{nm}[/tex] = [tex]b_n[/tex]

We know that the vector form of above system of equations is:

[tex]x_1\begin{bmatrix}a_1\\.\\.\\a_n\end{bmatrix}+x_n\begin{bmatrix}a_{m1}\\.\\.\\a_{mn}\end{bmatrix}=\begin{bmatrix}b_1\\.\\.\\b_n\end{bmatrix}[/tex]

So, required vector equation would be,

[tex]x_1\begin{bmatrix}3\\10\\6\end{bmatrix}+x_2\begin{bmatrix}-1\\8\\-1\end{bmatrix}=\begin{bmatrix}4\\2\\1\end{bmatrix}[/tex]

and the required matrix equation would be,

[tex]\begin{bmatrix} 3 & -1\\10 & 8\\6 & -1\end{bmatrix}\begin{bmatrix}x_1\\x_2\end{bmatrix}=\begin{bmatrix}4\\2\\1\end{bmatrix}[/tex]

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Answer:

3)

Step-by-step explanation:

2 lines establish a plane (it is the same plane P as mentioned in the description).

a line being perpendicular (having a right angle = 90°) to 2 other lines means it is perpendicular to the plane these 2 lines are establishing.

as it is impossible for a line to be perpendicular to 2 other lines in the same plane, if these 2 other lines are intersecting. it would only be possible, if these 2 lines were parallel.

Answer:

2mn

Step-by-step explanation:

To solve the expression 14m^2n^2/7mn, we need to simplify the fraction.

First, we can simplify the numerator by combining the 14 and m^2:

14m^2 * n^2 / 7mn = (14m^2) * (n^2) / (7mn) = 14mn * mn / 7mn = 14mn / 7

Next, we can simplify the denominator by  7

14mn / 7  = 14 / 7 = 2mn

You posted a lot of questions. I'll do the first three to get you started.

==================================================

Problem 1

Explanation:

Draw a vertical line to enclose the un-shaded region. Think of it like adding fencing to enclose a paddock or backyard.

What results are two rectangles. The larger rectangle has area = length*width = 8*10 = 80 square inches.

The smaller unshaded rectangle inside has area of 5*5 = 25 square inches.

The difference of those areas is:  80-25 = 55

You have the correct answer. Nice work.

==================================================

Problem 2

Explanation:

Follow the same set of steps as done in the previous problem. Draw a vertical line to form a larger rectangle.

The larger rectangle has area of 18*31.5 = 567 square feet.

The smaller unshaded rectangle has area of 9*9 = 81 square feet.

Subtract those results to get the shaded region only: 567-81 = 486

==================================================

Problem 3

Explanation:

This time we don't have to add any extra lines to enclose the figure.

A = larger area = 6*2.4 = 14.4

B = smaller unshaded area = 2*4.4 = 8.8

C = A-B = 14.4-8.8 = 5.6 square cm

You have the correct answer. Nice work.

Answer:

1)  55 in²

2)  486 ft²

3)  5.6 cm²

Step-by-step explanation:

To calculate the area of each given figure, subtract the area of the cut-out rectangle (marked in blue on the attached diagram) from the area of the larger rectangle.

[tex]\boxed{\begin{minipage}{5cm}\underline{Area of a rectangle}\\\\$A=w\cdot l$\\\\where:\\ \phantom{ww} $\bullet$ \quad $w$ is the width.\\ \phantom{ww} $\bullet$ \quad $l$ is the length.\\\end{minipage}}[/tex]

[tex]\begin{aligned}\textsf{Total Area}&=\textsf{Larger rectangle}-\textsf{Cut-out rectangle}\\&=8 \cdot 10- 5\cdot 5\\&=80-25\\&=55\; \sf in^2\end{aligned}[/tex]

[tex]\begin{aligned}\textsf{Total Area}&=\textsf{Larger rectangle}-\textsf{Cut-out rectangle}\\&= 31.5\cdot 18- 9\cdot 9\\&=567-81\\&=486\; \sf ft^2\end{aligned}[/tex]

[tex]\begin{aligned}\textsf{Total Area}&=\textsf{Larger rectangle}-\textsf{Cut-out rectangle}\\&= 6\cdot 2.4- 4.4\cdot2 \\&=14.4-8.8\\&=5.6\; \sf cm^2\end{aligned}[/tex]

1. Rounding each price per dozen to nearest penny will be $1.6 and $5.4

2. The percent of increase between these 2 years will be

A percentage simply has to do with the a value or ratio which can be stated as a fraction of 100. It should be noted that when we want to we calculate a percentage of a number, we simply divide it and then multiply the value that is gotten by 100.

The percent of increase between these 2 years will be:

= (5.4 - 1.6) / 1.6 × 100

= 3.8/1.6 × 100

= 237.5%

The reason for the change in price of eggs in that time was due to the increase in the feeding of poultry animals.

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Because Alicia chose a random sample, the answer is (A).

Regardless of the population distribution's shape, the Central Limit Theorem states that as sample size rises, the sampling distribution of the sample means tends to resemble a normal distribution. 40 pairs of Brand A shoes and 33 pairs of Brand B shoes were randomly chosen by Alicia, meeting the Central Limit Theorem's minimum sample size criterion. Hence, even though the distribution of Brand A shoes contains outliers, the sampling distribution of the difference in sample means is roughly normal. The Central Limit Theorem can be applied without assuming a particular population size or sample size, provided that the sample is independent and random.

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The correct answer is (C) Yes, because the size of each sample is at least 30.

The Central Limit Theorem (CLT) states that the sampling distribution of the mean of a sufficiently large number of independent and identically distributed random variables will be approximately normal, regardless of the population distribution, with a mean equal to the population mean and a standard deviation equal to the population standard deviation divided by the square root of the sample size.

The Central Limit Theorem states that the sampling distribution of the difference in sample means will be approximately normal as long as the sample sizes are large enough, typically n≥30.

Therefore, the fact that Alicia's sample sizes are 40 and 33 respectively ensures that the sampling distribution is approximately normal, even with outliers in Brand A.

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Answer:

              The true statements to be selected are the following:

"The slope of Function A is greater than the slope of Function B."

"The y-intercept of Function A is greater than the y-intercept of Function B."

Step-by-step explanation:

              Based on the points that were provided for Function A: (-5, -11), (-4, -8), and (2, 10), we can create a linear function to represent the function. The slope of the function is 3, and the y-intercept would be 4, so the linear function of Function A would be y = 3x + 4. And the function of Function B is, as given, y = 2x - 4.

              Now, we can compare the two functions and determine which statements are correct. Function A has a slope of 3 and a y-intercept of (0, 4), whilst Function B has a slope of 2 and a y-intercept of (0, -4). As both the slope and y-intercept of Function A is greater than the slope and y-intercept of Function B, the correct statements to select would be "The slope of Function A is greater than the slope of Function B." and "The y-intercept of Function A is greater than the y-intercept of Function B."

Have a great day! Feel free to let me know if you have any more questions :)

Answer:

y = x + 1

Step-by-step explanation:

the equation of a line in slope- intercept form is

y = mx + c ( m is the slope and c the y- intercept )

given

x - y = 5 ( subtract x from both sides )

- y = - x + 5 ( multiply through by - 1 )

y = x - 5 ← in slope- intercept form

with slope m = 1

• Parallel lines have equal slopes , then

y = x + c ← is the partial equation

to find c substitute (- 7, - 6 ) into the partial equation

- 6 = - 7 + c ( add 7 to both sides )

1 = c

y = x + 1 ← equation of parallel line

The equations of the lines passing through the specified points in slope-intercept form are;

The slope-intercept form of the equation of a line is; y = m·x + c

Where;

m = The slope of the line

c = The y-intercept

The points are; (2, 5), and (6, 2)  

The slope and the y-intercept of the line are found as follows;

Let m represent the slope and let c represent the y-intercept, we get the following system of equations;

5 = 2·m + c...(1)

2 = 6·m + c...(2)

Therefore;

The difference between the two equations are;

5 - 2 = 2·m - 6·m + (c - c)

3 = -4·m

m = -3/4

5 = 2·m + c

Therefore;

5 = 2 × (-3/4) + c

c = 5 + 2 × (3/4) = 6.5

The points are; (-1, 3) amd (0, -2)

The equation are;

3 = -1·m + c...(1)

-2 = 0×m + c...(2)

Therefore;

c = -2

3 = -1·m + c

3 = -1·m - 2

m = (3 + 2)/(-1) = -5

The equation is therefore;

The points are; (-2, -4) and (2, 1)

The equation are;

-4 = -2·m + c...(1)

1 = 2·m + c...(2)

Subtracting equation (2) from equation (1), we get;

-4 - 1 = -2·m - 2·m = -4·m

-5 = -4·m

m = -5/(-4) = 1.25

m = 1.25

-4 = -2·m + c

Therefore;

-4 = -2 × 1.25 + c

-4 = -2.5 + c

c = -4 + 2.5 = -1.5

c = -1.5

The equation is therefore; y = 1.25·x - 1.5

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Answer:

total visitors = 247+79+36 = 362

probability of next person buying one or more costume = 115/362

hope it helps

The futures price F0 must be equal to the present value of the expected future spot price, which is [tex]S0e^{(r-q)} T[/tex]. Hence, equation (5.3) is true.

We can use a similar strategy to Footnote 2 to show that equation (5.3) is correct.

Consider an investor who wants to invest in an asset with spot price S0, which pays a continuous dividend yield of q, and simultaneously take a short position in a futures contract with maturity T, which has a futures price of F0. The investor buys one unit of the asset for S0 and sells a futures contract for F0.

At maturity T, the futures contract will be settled at the spot price of the asset, ST. If ST > F0, the investor makes a profit of ST - F0 on the asset, but incurs a loss of F0 - ST on the futures contract. If ST < F0, the investor incurs a loss of F0 - ST on the asset, but makes a profit of ST - F0 on the futures contract.

Now, suppose that equation (5.3) does not hold, i.e., [tex]F0 \neq S0e^{(r-q)} T[/tex]. If [tex]F0 > S0e^{(r-q)} T[/tex], then the investor can buy the asset for S0, sell a futures contract for F0, and invest the difference [tex](F0 - S0e^{(r-q)} T)[/tex] at the risk-free rate r. At maturity T, the investor will receive ST from the asset, F0 from the futures contract, and [tex](F0 - S0e^{(r-q)} T)e^r(T-t)[/tex] from the investment. The total cash inflow will be [tex]ST + F0 + (F0 - S0e^{(r-q)} T)e^r(T-t).[/tex] But this is greater than the initial outflow of S0, which means that the investor can make a riskless profit, violating the no-arbitrage principle.

Similarly, if[tex]F0 < S0e^{(r-q)} T[/tex], then the investor can short-sell the asset for S0, buy a futures contract for F0, and borrow the difference [tex](S0e^{(r-q)} T - F0)[/tex] at the risk-free rate r. At maturity T, the investor will receive ST from the short sale, F0 from the futures contract, and [tex](S0e^{(r-q)} T - F0)e^r(T-t)[/tex]from the borrowing. The total cash inflow will be [tex]ST + F0 + (S0e^{(r-q)} T - F0)e^r(T-t)[/tex]. But this is greater than the initial outflow of S0, which means that the investor can make a riskless profit, violating the no-arbitrage principle.

Therefore, to avoid arbitrage opportunities, The futures price F0 must be equal to the present value of the expected future spot price, which is [tex]S0e^{(r-q)} T[/tex]. Hence, equation (5.3) is true.

for such more question on contract

https://brainly.com/question/30123892

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