Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Justify and show the means by which you arrive at your answers for full credit. Answers must be labeled for full credit 1. Consider
Justify and show the means by which you arrive at your answers for full credit. Answers must be labeled for full credit 1. Consider the value of an investment in a stock over time. Value of an Investment 2000 Year Value 1800 3 $615 1600 7 $810 9 $935 12 $1,180 16 $1,595 Value (dollars) 1400 1200 1000 800 18 $1,920 600 400 0 5 10 15 20 Year a. (4 pts) Find the slope between years 12 & 16 and explain its meaning in context in a complete sentence. 2 decimal places b. (4 pts) Find the growth rate between years 12 and 16 and explain its meaning in context in a complete sentence. 2 places Hint: The years are not consecutive so you will need to input values into the equation y = a*b* and solve. C. Give the coordinate for the y-intercept from the graph and explain its meaning in context. d. (4 pts) Use regression to find an exponential equation to model the data. Round the numbers in your equation to 3 decimal places. e. (4 pts) State the growth rate and explain its meaning in context in a complete sentence (2 decimal places) f. (4 pts) Use your equation to estimate the value of the stock at 30 years. 2 decimal places
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started