Math Problem Statement

The changes to a company's stock prices for five days are -$1.25, $0.75, -$1.25, $0.75, and $0.75. What is the mean change of the stock prices?

Solution

The problem asks for the mean (average) change of the company's stock prices over five days, where the changes are as follows:

  • $-1.25$, $+0.75$, $-1.25$, $+0.75$, and $+0.75$.

To calculate the mean:

  1. Add the values: 1.25+0.751.25+0.75+0.75=1.251.25+0.75+0.75+0.75=2.50+2.25=0.25-1.25 + 0.75 - 1.25 + 0.75 + 0.75 = -1.25 - 1.25 + 0.75 + 0.75 + 0.75 = -2.50 + 2.25 = -0.25

  2. Divide the total by the number of values (5): Mean=0.255=0.05\text{Mean} = \frac{-0.25}{5} = -0.05

Final Answer:

The mean change in the stock prices is $-0.05$.

Would you like further clarification or assistance?


Here are 5 follow-up questions to explore related concepts:

  1. What does a negative mean change in stock prices imply about a company's overall performance?
  2. How could this mean change influence investor confidence?
  3. How do you calculate the range of the stock price changes for these five days?
  4. What are the implications of calculating median vs. mean in stock price changes?
  5. How would removing an outlier affect the mean in this case?

Tip: When calculating the mean, always double-check the signs of the numbers to ensure accurate addition and division.

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Math Problem Analysis

Mathematical Concepts

Statistics
Averages
Mean

Formulas

Mean = (Sum of values) / (Number of values)

Theorems

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Suitable Grade Level

Grades 6-8