Continuing with the Power Plant from the Previous Question,suppose Instead

question 2

Multiple Choice

Continuing with the power plant from the previous question,suppose instead the price of coal next month could be $54 or $66 (with equal probability) .Now how much would it be willing to pay for an option to buy a ton of coal oil next month at today's price?

• A)5
• B)4
• C)3
• D)0

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Definitions:

Time-Wasting Interruptions

Unnecessary breaks in focus or activity that hinder productivity and efficiency.

Optimal Study Time

The most efficient period for an individual to learn and retain information, which varies based on personal habits and external conditions.

Large Project

A significant or extensive task or undertaking, often involving complex planning and considerable time, resources, or effort.

Manage Time

The process of planning and exercising conscious control over the amount of time spent on specific activities to increase effectiveness, efficiency, or productivity.