Week 4 - Chapter 5 Conference (STAT-200)

Week 4 - Chapter 5 Conference (STAT-200) - INTRODUCT ION TO...

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I NTRODUCTION TO S TATISTICS (S TAT -200) W EEK #4 C ONFERENCE Required : Your Investment Strategy (Your understanding of probability in your life decisions) You just HIT THE LOTTERY for $150,000 (AFTER taxes). What do you do with the winnings? (Pick a situation below and answer the question). Do you have ANOTHER scenario you would like to propose? Go ahead. How would probability be used in making your decisions, or would it? Is anything missing from this problem set-up that would also affect your decision? 1. You are 25, single, have a job, but layoffs have begun (not you, yet, but maybe this year), renting a small apartment and make car payments. 2. You are 40, one kid finishing HS, one JHS, worked 20 years for same company, GM, your company 401K lost half its value, still have a $200K mortgage but $400K house lost half its value. 3. Your are 60, kids gone, 23 years with company, no retirement plan except SS, $20K IRA savings, $100K mortgage, but $300K house now assessed at $225.
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Week 4 - Chapter 5 Conference (STAT-200) - INTRODUCT ION TO...

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