Find the Average Rate of Change Illustrated in the Graph

question 232

Multiple Choice

Find the average rate of change illustrated in the graph.
-From April through December, the stock price of QRS Company had a roller coaster ride. The chart below indicates the price of the stock at the beginning of each month during that period. Find the average rate of
Change in price per month between June and September. Round to the nearest cent.

$\begin{array}{l|r}\text { Month } & \text { Price } \\\hline \text { April }(x=1) & 116 \\\text { May } & 108 \\\text { June } & 87 \\\text { July } & 101 \\\text { August } & 96 \\\text { September } & 113 \\\text { October } & 92 \\\text { November } & 85 \\\text { December } & 64\end{array}$

• A) \(- \$ 13.00\) per month
• B) \(- \$ 8.67\) per month
• C) \(\$ 8.67\) per month
• D) \(\$ 13.00\) per month

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Definitions:

Prospect Theory

A behavioral economic theory that describes how people choose between probabilistic alternatives that involve risk, where the probabilities of outcomes are known.

Pricing

The process of determining the value that will be charged for goods or services.

Packaging

The materials and methods used to protect and present goods for distribution, sale, and use.

Availability Heuristic

A mental shortcut that relies on immediate examples that come to mind when evaluating a specific topic or decision.