You are on page 1of 1

Assignment-Google Stocks 1.

If a person bought 1 share of Google stock within the last year, what is the probability that the stock on that day closed at less than the mean for that year? The Mean = 635.55, the Standard Deviation = 49.7 and the last year the stock closed at 582.93. based on the mean of last years and the standard deviation, the probability that the stock on that day closed at less than the mean for that year is 0.25. 2. If a person bought 1 share of Google stock within the last year, what is the probability that the stock on that day closed at more than $500? The mean is 660.788 Closed within $45 of the mean for that year? From the information that can be deduced. The probability that the stok on that day closed at more than $500 is 0.75. 3. If a person bought 1 share of Google stock within the last year, what is the probability that the stock on that day closed within $45 of the mean for that year? Mean was 658.21. stock closes half of the days below and rest half above the mean.at random if we are asked about the probability then we know that it is half the probability i.e 1/2 such that stock closes below the mean. it also depends on the value at the starting of the day,but here it is taken at random so probability is 0.5 4. Suppose a person within the last year claimed to have bought Google stock at closing at $400 per share. Would such a price be considered unusual? Explain. No, such a price would not be considered unusual. This is because, stock prices fluctuate and looking at the google stocks historical chart, it is evident that the stock price had fallen to the level of $400 during the month of March 2012. 5. At what price would Google have to close at in order for it to be considered statistically unusual? You should have a low and high value. The minimum and maximum price that Google would close at to be considered statistical unusual is 350$ and 850$. This is because, the stock price in that one year, did not hit those prices. 6. What are Q1, Q2, and Q3 in this data set? Q1= 652$, Q2= 745$, Q3= 838$

7. Is the assumption that was made at the beginning valid? Why or why not? Yes, there is an assumption of normal distribution at the beginning. This assumption is based on the fact that stock prices increases with time,

You might also like