Total Stocks: 2 (A & B) and each stock has 3 outcomes (increase in value, decrease in value, or remain unchanged)
Can you please check my answer for the question below:
Investor ABC has two stocks: A and B. Each stock may increase in value, decrease in value, or remain unchanged. Consider the experiment of investing in the two stocks and observing the change (if any) in value.
How many experimental outcomes are possible? Select one: a. 8 b. 12 c. 10 d. 6 e. 9
Therefore 3*3 = 9 Experimental Outcomes.
How many experimental outcomes result in an increase of value for at least one of the stocks?
How many of the experimental outcomes result in a decrease in value for both stocks?
I can't seem to figure out the correct answer, I think its either 1 or 3?
Please let me know.