# vector operations word problem.

• Jan 10th 2011, 10:56 PM
Taurus3
vector operations word problem.
suppose you manage a mutual fund that invests in 1000 companies. Let S be the vector in Rn whose ith component is the number of shares of company i that you've today. Let P be the vector in R^1000 whose ith component is today's price per share of company i's stock. Express the total value of your holdings in terms of vector operations.

Sol: I tried using the dot product. Let S be [s_1, s_2,.......s_i] and P be [p_1, p_2,.....p_1000]. So the total value would just be s_1(p_1)+s_2(p_2).....and so on? Am I right?
• Jan 10th 2011, 11:28 PM
Swlabr
Quote:

Originally Posted by Taurus3
suppose you manage a mutual fund that invests in 1000 companies. Let S be the vector in Rn whose ith component is the number of shares of company i that you've today. Let P be the vector in R^1000 whose ith component is today's price per share of company i's stock. Express the total value of your holdings in terms of vector operations.

Sol: I tried using the dot product. Let S be [s_1, s_2,.......s_i] and P be [p_1, p_2,.....p_1000]. So the total value would just be s_1(p_1)+s_2(p_2).....and so on? Am I right?

Yup, that's correct.

Yet another real-world application of mathematics!