Instruction 5-5
There Are Two Houses with Almost Identical Characteristics

question 22

Short Answer

Instruction 5-5
There are two houses with almost identical characteristics available for investment in two different neighbourhoods with drastically different demographic composition.The anticipated gain in value when the houses are sold in 10 years has the following probability distribution:
Returns
$$\begin{array} { | c | c | c | } \hline \text { Probability } & \text { Neighbourhood A } & \text { Neighbourhood B } \\\hline .25 & - \$ 22,500 & \$ 30,500 \\\hline .40 & \$ 10,000 & \$ 25,000 \\\hline .35 & \$ 40,500 & \$ 10,500 \\\hline\end{array}$$
-Referring to Instruction 5-5,what is the standard deviation of the value gain for the house in neighbourhood A?

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Definitions:

Golgi Complex

An organelle in cells that modifies, sorts, and packages proteins and lipids for storage or transport out of the cell.

Ribosomes

Cell organelles that function as the site of protein synthesis, translating messenger RNA into proteins.

Modified

Altered or changed in form, structure, or characteristics, often through human intervention or natural processes.

Phagocytic Vesicle

A membrane-bound compartment inside a cell that encloses material taken up by phagocytosis to be digested.