A Financial Analyst Is Presented with Information on the Past

question 153

Multiple Choice

A financial analyst is presented with information on the past records of 60 start-up companies and told that in fact only 3 of them have managed to become highly successful. He selected 3 companies from this group as the candidates for success. To analyze his ability to spot the companies that will eventually become highly successful, he will use what type of probability distribution?

• A) Poisson distribution
• B) binomial distribution
• C) hypergeometric distribution
• D) none of the above

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Definitions:

Skin Temperature

A measure of the surface temperature of the body, which can be influenced by various internal and external factors.

Qi Gong

A system of coordinated body posture and movement, breathing, and meditation used for health, spirituality, and martial arts training.

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A practice where an individual uses a technique such as mindfulness to focus their mind on a particular object or thought to achieve a mentally clear and emotionally calm state.

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The positive health outcomes or improvements derived from undergoing a particular treatment, therapy, or activity.