15. Many of us that are getting ready for retirement rely heavily on the stock m

Question

15. Many of us that are getting ready for retirement rely heavily on the stock market tor their retirement income and have been very worrled about the recent swings in the market A survey of 977 individuals between 55 and 65 were asked how often they track market. The table shows investor responses. the stock How frequently? Response Daily Weekly Monthly Couple times a year 145 Don't track 226 268 277 61 a. What is the probability that an individual in this age category tracks his or her Express your answer as a simplified fraction and as a decimal rounded to 3 decimal places. b. Is this an example of empirical, classical or subjective method of interpreting robabilities?

Explanation / Answer

a)
probability that an individual in this age category tracks their portfolio weekly
= 268/977

b)

this is empirical method of interpreting probabilities

The empirical probability, relative frequency, or experimental probability of an event is the ratio of the number of outcomes in which a specified event occurs to the total number of trials, not in a theoretical sample space but in an actual experiment.

Related Questions

Navigate

• Browse (All)
• Browse 1
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.