Which of the Following Is the Interpretation of a VAR

question 47

Multiple Choice

Which of the following is the interpretation of a VAR of $5 million for one year at 5 percent probability.

• A)the probability is 5 percent that the firm will lose at least $5 million in one year
• B)the probability is at least 5 percent that the firm will lose $5 million in one year
• C)the probability is 5 percent that the firm will lose $5 million in one year
• D)the probability is less than 5 percent that the firm will lose $5 million in one year
• E)none of the above

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Definitions:

Consumerism

The societal trend marked by a high consumption of goods and services and an emphasis on consumer rights and interests.

Countercultures

Social groups that reject and oppose significant elements of the dominant culture, often creating their own norms and values.

Social Control

involves mechanisms, strategies, and institutions designed to regulate individual and group behavior, aiming to maintain conformity and compliance with societal norms and rules.

Consumerism

The societal trend characterized by the acquisition of goods and services in ever-increasing amounts.