Given the following data, use exponential smoothing with a = 0.3 and α =.5 to develop a demand forecasts for period 7.  Assume that the forecast for week 1= 19. Use the Mean Absolute Percent Error to determine which forecasts are more accurate.

If you estimate the beta OLS for stock i is 1.5, the standard error is 0.3. To test the two null hypothesis:β=3.5,β=-1，can you reject these two null hypotheses at 10% significance level with the t_critical = 2.96?

1. A.	β=3.5 cannot be rejected,β=-1 can be rejected
   	B.	β=3.5 can be rejected,β=-1 cannot be rejected
   	C.	β=3.5 can be rejected,β=-1 can be rejected
   	D.	β=3.5 cannot be rejected,β=-1 cannot be rejected

If you estimate the beta OLS for stock i is 1.5, the standard error is 0.3. To test the two null hypothesis:β=3.5,β=-1，can you reject these two null hypotheses at 10% significance level with the t_critical = 2.96?

Imagine that a society has a gini coefficient of 0.3. According to the Maximin Criterion has this society reached the efficient level of redistribution? Explain your answer

Consider a stock priced at $30 with a standard deviation of 0.3. The risk-free rate is 0.05. There are put and call options available at exercise prices of 30 and a time to expiration of six months. The calls are priced at $2.89 and the puts cost $2.15. There are no dividends on the stock and the options are European.   

What is the profit from the transaction from a finance perspective (adjusting for the TVM)?

$7.00 ?

$4.11 ?

$4.04 ?

$3.96 ?

none of the above ?

Assume that the stock begins paying a dividend of 3% and the price of the call option falls to $2.75. What is the price of the put in this situation?

Let X be a binomial random variable with n = 11 and p = 0.3. Find the following values. (Round your answers to three decimal places.)

(a)    

P(X = 5)

(b)    

P(X ≥ 5)

(c)    

P(X > 5)

(d)    

P(X ≤ 5)

(e)    

μ = np

μ =

(f)    σ =

σ =

The probability is 0.3 that a traffic fatality involves an intoxicated or​ alcohol-impaired driver or nonoccupant. In eight traffic​ fatalities, find the probability that the​ number, Y, which involve an intoxicated or​ alcohol-impaired driver or nonoccupant is a. exactly​ three; at least​ three; at most three. b. between two and four​, inclusive. c. Find and interpret the mean of the random variable Y. d. Obtain the standard deviation of Y.