Midterm 2 - Econ326Spring2011 Midterm#2 April6,2011...

Info iconThis preview shows pages 1–38. Sign up to view the full content.

View Full Document Right Arrow Icon
Econ326 Spring 2011 Name: _________________________ Midterm #2 Student ID: _____________________ April 6, 2011     Section #: _______________________ Instructor: Ginger Jin The test is CLOSE - book. Please work independently with your cellular phone and computer completely shut down. We will provide  you a basic - function calculator, so please put away your own calculator if you have one. The test lasts 50 minutes. Please use the scantron for the multiple choice questions and the exam pages for the long questions. For the long questions, if you  write any answers out of the designated space or on the back of the page, please make a clear reference so we know where to find the  answers.  If a number involves decimal point, please keep it up to 3 digits after the decimal point.  Total points: 100  points Weights for questions:  15 multiple choices with 4 points each,  Long question 1: all parts required total 20 points Long quesiton 2: all parts required total 20 points   MULTIPLE CHOICE.  Choose the one alternative that best completes the statement or answers the question.  Scenario 5.4: Suppose an individual is considering an investment in which there are exactly three possible outcomes, whose probabilities and pay - offs are given below: Outcome Probability Pay - offs A .3 $100 B  ? 50 C .2 ? The expected value of the investment is $25. Although all the information is correct, information is missing.   1) 
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Refer to  Scenario  5.4.  What  is the  probabilit y of  outcome  B?  
Background image of page 2
1)  ______ _  A
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
0  
Background image of page 4
B) 
Background image of page 5

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
0.2  
Background image of page 6
C) 
Background image of page 7

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
0.4  
Background image of page 8
D) 
Background image of page 9

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
0.5  
Background image of page 10
E)  - 0  
Background image of page 11

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Refer to  Scenario  5.4.  What  is the pay - off of  outcome  C?  
Background image of page 12
2)  ______ _  A
Background image of page 13

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
25  
Background image of page 14
B) 
Background image of page 15

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
0  
Background image of page 16
C) 
Background image of page 17

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
- 150  
Background image of page 18
D) 
Background image of page 19

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
150  
Background image of page 20
E)  1 0  
Background image of page 21

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Refer to  Scenario  5.4.  What  is the  standard  deviation  of the  investmen t?  
Background image of page 22
3)  ______ _  A 1 6 .5 8  
Background image of page 23

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
90.14   D) 
Background image of page 24
56.12   E) 
Background image of page 25

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
none of the  above     4) 
Background image of page 26
function  that  indicates  the  maximum  output per  unit of  time that  a firm can  produce,  for every  combinati on of  inputs  with a  given  technolog y, is  called  
Background image of page 27

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
4)  ______ _  A
Background image of page 28
a production  possibility  curve.           
Background image of page 29

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
B)  an  isocost 
Background image of page 30
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 09/07/2011 for the course ECON 326 taught by Professor Hulten during the Spring '08 term at Maryland.

Page1 / 112

Midterm 2 - Econ326Spring2011 Midterm#2 April6,2011...

This preview shows document pages 1 - 38. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online