A Hybrid-Grower Is Experiencing Trouble with Corn Borers

question 45

Multiple Choice

A hybrid-grower is experiencing trouble with corn borers. A random check of 5,000 ears revealed the following: many of the ears contained no borers. Some ears had one borer; a few had two borers; and so on. The distribution of the number of borers per ear approximated the Poisson distribution. The grower counted 3,500 borers in the 5,000 ears. What is the probability that an ear of corn selected at random will contain no borers?

• A) 0.3476
• B) 0.4966
• C) 1.000
• D) 0.0631
• E) None of the choices are correct

Grasp the significance of factor models, including multifactor APT, in explaining asset returns.

Comprehend the underlying assumptions and implications of the APT.

Calculate expected returns on portfolios using multifactor models.

Understand the risk-return relationship as defined by modern financial theories.

---

Definitions:

Intermediate Value

A mathematical concept stating that a continuous function must take on every value between any two values it assumes at any points in the domain.

Squared Values

Numbers that have been multiplied by themselves.

Cost-To-Benefit Analysis

A systematic approach to estimating the strengths and weaknesses of alternatives in terms of costs and benefits.

Numeric Ratio

A comparative figure showing the relative sizes of two quantities expressed as a quotient.