10 points Save Answer QUESTION 3 Table: The HP Stock Exchange Sales (in unit) 5,
ID: 1162259 • Letter: 1
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10 points Save Answer QUESTION 3 Table: The HP Stock Exchange Sales (in unit) 5,000-10 000 10,000-15,000 Price (5) 15,000-20,000 20,000-25,000 25.000-30,000 0.20 0.40 0.10 0.10 Table. The HP Stock Exchange) The HP Stock Exchange lets members of HP's sales team buy and sell shares that pay off when sales fall within a certain range A typical security would pay out $1, if and only if future sales fell within the specific range of that share Accordingly, the trading price given in the table between 15,000 and 20.000 units implies that Reterence: Ref 7.6 A the probability of selling between 15,000 and 20,000 units is believed to be 40% @ B price per unit of sales will increase at 50.40 per unit for sales between 15,000 and 20.000 units C. price per unit of sales is $0.40 if the sales ranges between 15,000 and 25,000 units. H D the probability of selling between 15,000 and 20,000 is believed to be at least 40%Explanation / Answer
Answer:- HP's sales team buy and sell shares that pay off when sales fall within a certain range. A typical security would pay out $1. if and only if future sales fell within the specific range of that share. Accordingly, the trading price given in the table between 15000 and 20000 unit implies that
Correct option:- The probability of selling between 15000 and 20000 units is believed to be 40%.
Reason:- The table indicates that when the price is 0.1, the sales will be in the range of 5000-10000 units when the price is 0.2, sales will be 10,000-15000 unit, similarly, when the price is 0.4, the sales will be in the range of 15000-20000 unit and so on. Thus price indicates the probability of selling the specific number of units at different prices.
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