A Tree Diagram Is

question 8

Multiple Choice

A tree diagram is:

• A) similar to a Venn diagram and useful for visually depicting a data set.
• B) a useful tool for graphically depicting a sample space.
• C) vital for choosing the experimental outcome that is certain to occur in the next trial.
• D) the only way to determine accurate probability estimates.

---

Definitions:

Put Option

A monetary contract enabling the holder the choice, though not the requirement, to sell an established amount of a base asset at a predetermined rate within a set timeframe.

Hedge

An investment made to reduce the risk of adverse price movements in a security, often by taking an offsetting position in a related security.

Market Price

The current cost at which you can buy or sell an asset or service.

Bushels

A bushel is a unit of volume that is used in the United States for measuring quantities of agricultural produce, such as grains or fruits.