Which of the following is possible in a modified Cox, Ross, Rubinstein binomial tree?

A. The interest rate and volatility can both be functions of time
B. The interest rate or the volatility can be a function of time, but not both
C. The interest rate can be a function of time but the volatility cannot
D. The interest rate and volatility must be constant


A

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A toy store owner hypothesizes, at the 95% level of confidence, that parents spend less than $100 on toys per visit to her store. A sample is taken and the hypothesis test shows a z value of -1.65. We:

A) accept the hypothesis B) do not support the hypothesis C) accept the alternative hypothesis D) fail to support the hypothesis E) none of the above; we do not have sufficient information

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An experimental study demonstrated that stressful situations and crisis situations can

a. reduce the perceptions that the leader is charismatic b. increase the perceptions that a leader is charismatic c. cause charismatic leaders to “fall apart” because they are more form than substance d. cause followers to reject the charismatic leaders

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The administration of the assets of the deceased and the proving of the validity of the will are determined in:

A) probate proceedings. B) a domicile of intent. C) an equity proceeding. D) a testamentary hearing.

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During self-appraisals, some poor performers tend to attribute their problems to situational factors around them, and a few will rate themselves too leniently.

Answer the following statement true (T) or false (F)

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