A Baseball Player Has a Batting Average of 0

question 52

Multiple Choice

A baseball player has a batting average of 0.325 each week of the season, with a standard deviation of 0.065. What is the z score when he bats 0.410 one week?

• A) 1.308
• B) 0.410
• C) 0.325
• D) 1.275

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Definitions:

Loanable Funds

The money available for lending and borrowing in the financial markets, influenced by interest rates.

Asset Beta

A measure used in finance to determine the risk of an asset in relation to the market, isolated from its financial leverage.

Market Rate

The prevailing price or cost of goods, services, or labor in a competitive market, determined by supply and demand forces.

Risk-Free Rate

The return on an investment with no risk of financial loss, often represented by the yield on government bonds.