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How does this relate to the mean

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Reference no: EM13974257

In Malay, the expression for the mean is sama rata, which roughly translates as same level. To understand this cultural and conceptual connection, take some poker chips (or other equal-sized, stackable objects) and make stacks with 3, 7, and 8 chips.

(a) Explain how to redistribute chips among the stacks until they are at the same level.

(b) How does this relate to the mean?

(c) If a stock gains 50 percent one year and then loses 50 percent of its value the next year, is it accurate to say that its mean growth over the full two-year period was (50 + 50)/2 = 0%? Explain. 

Reference no: EM13974257

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