Given: S = $55,X = $50,r = 5%,t = 4

question 48

Multiple Choice

Given: S = $55,X = $50,r = 5%,t = 4 months and σ = 20% calculate d₁ and d₂.

• A) -0.62334, -0.73881 respectively
• B) 1.0275, -0.4501 respectively
• C) -0.62334, -0.82334 respectively
• D) 1.0275, 0.9120 respectively

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Definitions:

Groupthink

A psychological phenomenon where the desire for harmony or conformity in a group results in an irrational or dysfunctional decision-making outcome.

Preventing Groupthink

Strategies or methods employed to ensure that decision-making within a group is based on critical thinking and not on the desire for harmony or conformity.

Meritocracy

A system or society in which people are selected, rewarded, and advanced in accordance with their talents, abilities, and efforts rather than their social status or background.

Group Cohesion

The bonding together of members of a group, resulting in a strong sense of collective identity, loyalty, and togetherness.