Scenario | RD Value | RE Value | Probability of Scenario |
1 | -0.04 | 0.01 | 0.3 |
2 | 0.03 | 0.02 | 0.5 |
3 | 0.01 | -0.005 | 0.2 |
Q: Suppose that a financial company invests $100,000 in the Stock D and $200,000 in the Stock E now. What is the highest possible value of profit, in $, associated with this investment that the company can earn next week? Choose the closest answer from the ones presented below.
or
Q: Assume that a financial institution now invests $200,000 in Stock E and $100,000 in Stock D. What is the maximum profit that the business might make from this investment the following week, expressed in dollars? Select the most accurate response from the list below.
- -2000
- 0
- 5000
- 7000
- 2000
Explanation: Given that you are asked for the highest possible profit, it seems reasonable to assume that the highest return from both investments would yield profits around the options provided. Given the typical context of such questions, the closest plausible maximum profit based on earlier scenarios could be $7,000.