Describe a Scale Model of the Disk of the Milky

question 48

Essay

Describe a scale model of the disk of the Milky Way using a scale in which 1 cm = 1000 light-years.Note that the diameter of the disk is approximately 100,000 light-years,the thickness of young stars is 500 light-years,and the thickness of the older stars is 4,000 light-years.

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Definitions:

Leverage

The use of borrowed funds or financial instruments to increase the potential return of an investment, which can also magnify the potential for loss.

Marking to Market

The process of adjusting the value of an asset to its current market level rather than its book value or original cost.

Margin Calls

A broker's demand on an investor to deposit additional money or securities so that the margin account is brought up to the minimum maintenance margin.

Gains

The increase in value of an asset or investment, measured as the difference between the sale price and the purchase price.