You Have Been Given This Probability Distribution for the Holding-Period

question 21

Multiple Choice

You have been given this probability distribution for the holding-period return for Cheese, Inc stock: $$\begin{array} { l c l } \text { State of } & \text { Probability } & \text { HPR } \\\text { Economy } & & \\\text { Boom } & .20 & 24 \% \\\text { Normal Growth } & .45 & 15 \% \\\text { Recession } & .35 & 8 \%\end{array}$$
-An investor purchased a bond 45 days ago for $985.He received $15 in interest and sold the bond for $980.What is the holding-period return on his investment?

• A)1.52%
• B)0.50%
• C)1.92%
• D)0.01%
• E)None of the above

Recognize the importance of diversity and inclusion within an organization and its practices.

Identify the stages of moral development and how they influence ethical decision making.

Understand the concept of stakeholder pressures and their impact on organizational decision making.

Learn about different strategies and measures companies adopt to foster ethical behavior and diversity.

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Definitions:

Indicator Variable

A binary variable that takes the value of 1 if a certain condition is true and 0 if it is false, used in statistical analysis.

Interval Variable

An interval variable is a type of numerical data that is measured along a scale, where the distance between each point is uniform and meaningful, but does not have a true zero point.

Stepwise Regression

A method of regression analysis in which variables are added or removed from the model in a step-by-step manner based on specific criteria.

Independent Variables

Variables in an experiment that are manipulated or altered by the researcher to determine their effect on the dependent variable.