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Exhibit 10.6
The information below is used for the following questions.
An investor wants to classify companies as being either a good investment, Group 1, or a poor investment, Group 2. He has gathered Liquidity, Profitability and Activity data on 18 companies he has invested in and run a regression analysis. Discriminant Analysis output has also been generated. The data for the problem and the relevant output are shown below.
-Refer to Exhibit 10.6. What formulas should go in cells C22:D23, E4:G24, and F24 of the spreadsheet?
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Accountability
Accountability refers to the obligation of individuals or organizations to account for their activities, accept responsibility for them, and disclose the results in a transparent manner.
Portfolio Analysis
A method used for evaluating an entity’s or individual’s investments, diversification strategies, and financial health by examining its assets and liabilities.
Organizational Strategies
Planning methods and approaches used by an organization to achieve long-term goals and to navigate the competitive landscape.
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