Pls answer both, this questions are related QuestionThe lognormal model for stock prices is given by S(4) = 100e" 12+0.22 where Z~ N(0, 1).%3DDetermine the value of o in the model, the variance of stock's retum.QuestionThe lognormal model for stock prices is given by S(4) = 100e0 12+0.22 where Z N(0, 1).Determine the stock's continuously compounded expected rate of appreeiation.

Given the lognormal model for stock prices as S4=100e0.12+0.2Z where Z~N0,1

Answered: Question The lognormal model for stock…

Functions and Change: A Modeling Approach to College Algebra (MindTap Course List)

6th Edition

ISBN:9781337111348

Author:Bruce Crauder, Benny Evans, Alan Noell

Publisher:Bruce Crauder, Benny Evans, Alan Noell

Chapter5: A Survey Of Other Common Functions

Section5.3: Modeling Data With Power Functions

Problem 3TU

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Respiratory Rate Researchers have found that the 95 th percentile the value at which 95% of the data are at or below for respiratory rates in breath per minute during the first 3 years of infancy are given by y=101.82411-0.0125995x+0.00013401x2 for awake infants and y=101.72858-0.0139928x+0.00017646x2 for sleeping infants, where x is the age in months. Source: Pediatrics. a. What is the domain for each function? b. For each respiratory rate, is the rate decreasing or increasing over the first 3 years of life? Hint: Is the graph of the quadratic in the exponent opening upward or downward? Where is the vertex? c. Verify your answer to part b using a graphing calculator. d. For a 1- year-old infant in the 95 th percentile, how much higher is the walking respiratory rate then the sleeping respiratory rate? e. f.
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