Homework 1

1
Homework 1

2
Problem 1

• a) and c) graphs
• b) Positive between CPI and SP Index since both
  are increasing over time Negative between CPI
  and 3-month T-Bill since 3-month is decreasing
  over time while SP increases over time.

3
Problem 2

• a) W1,W2 W1,W3 W1,M1 W1,M2 W2,W1 W2,W3
  W2,M1 W2,M2 W3,W1 W3,W2 W3,M1 W3,M2 M1,W1
  M1,W2 M1,W3 M1,M2 M2,W1 M2,W2 M2,W3 M2,M1
• b) M1,M2
• c) 14
• d) P(b) 18/20 .90

4
Problem 3

5
Problem 5

6
Problem 6

• a) P(Female)400/1000.4
• b) P(Female SwimSwim) P(FS)/P(S)(80/1000)/(1
  80/1000) 4/9.44444