Question

**Let us say, you have $ 100, 000.00. Would you buy gold
with it, or use it on starting a business? Explain the logic of
your decision.**

Answer #1

With $100,000, I would surely start a business. As it's not a small sum of amount, so we can invest it in a very good business with a good return for the rest of our lives. Stating a good business have a good scope of expansion in future which directly means the multiplication of return. A business will help me to earn my bread and butter with many more people whom I have employed. Investing in business will surely give a small amount of return.

Why not Gold ??

1. The rate inflation is not constant. Even the rate is increasing every day, but we cant hope or work personally to earn more profit.

2. We can earn a return on gold, only when we will sell it. It means if we want to earn profit we have to lose what we have.

3. The threat to loose , there is always a risk of the loss of theft.

4. Can’t expect the regular return from gold, which business can.

So, invest your money to start a business, not for looking for a lethargic investment

Assuming you are a gold trader. You expect to buy 1,000 g of
gold on 30 December. Since the gold price in the market is on an
increasing trend, you decided to purchase a call option from a
counterparty (call writer). The strike price of the gold is $235
per g and you will have to pay an option premium of $10 per g for
this right.
a) If the gold price increase to $245, what would be the price...

A
die is rolled 360 times. Let say that you want to use normal
approximation to find the probability that the number of 4 was
rolled less than 100 times. You need to find the probability that
X<100. Explain how you would use continuity correction in this
case.

If you can measure masses to +- 0.0001g in this experiment
(e.g., let us say that your sample mass is 0.1149g), and you know
that your volumetric pipet measures exactly 25ml and the molar mass
of Al(Ox)3 is 459.42g/mol, to how many significant figures should
[Al3+] results be reported?
For example, if the calculated [Al3+] is determined to be
exactly 0.1M, how would you report this value using the correct
number of significant figures?
Al3+ (aq) + 3Ox- (aq) ------>...

2. How you will know the hardness of minerals. Let say you have
two minerals and you want to know their harness, so what are the
possible methods that you will use. Please explain.

"Gold may be a better store of value than US money,but would
function as a poorer medium of exchange and unit of account than US
money." Do you agree with this statement? If yes, explain why you
agree. If no, explain why disagree.

Consider best buy your business. Explain how you would use 2
strategies discussed in class to get and keep a competitive
advantage over newcomer electronics?

A telephone survey of 1000 randomly selected US adults found
that 29% of them say they believe in ghosts. Does this provide
evidence that more than 1 in 4 US adults believe in ghosts? Clearly
show all details of the test (including hypotheses). Be sure to
show all of your statistical methods (calculations, simulation
& sketches) and explain your conclusion as well as what your
p-value “says” to us in this context. Details of all steps of your
hypothesis test...

Suppose you will receive US$100 million in three months and you
would like to exchange the money to CAD. What option strategies can
you use to guarantee an exchange rate between 1.2 and 1.3?

(f) Would you say that owning 100 acres of mineral rights to
natural gas in Wyoming constitutes owning an asset? (g) Would you
say that owning 100 acres of almond orchards in California
constitutes owning an asset? (h) Which of these are natural
assets?

which of the following expenditures would increase the investment
component of us gdp
a. you buy a new book about the financial markets
b. you purchase a new car
c. all the other choices would increase the investment
component of US gdp
d. ibm buys an office chair
e. you purchase 1000 shares of ibm stock

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