CompetencyGiven a real-life application, develop a confidence interval for a population parameter and its interpretation.InstructionsScenario (information repeated for deliverable 01, 03, and 04)A major client of your company is interested in the salary distributions of jobs in the state of Minnesota that range from $30,000 to $200,000 per year. As a Business Analyst, your boss asks you to research and analyze the salary distributions. You are given a spreadsheet that contains the following information:A listing of the jobs by titleThe salary (in dollars) for each jobYou have previously explained some of the basic statistics to your client already, and he really liked your work. Now he wants you to analyze the confidence intervals.Background information on the DataThe data set in the spreadsheet consists of 364 records that you will be analyzing from the Bureau of Labor Statistics. The data set contains a listing of several jobs titles with yearly salaries ranging from approximately $30,000 to $200,000 for the state of Minnesota.What to SubmitYour boss wants you to submit the spreadsheet with the completed calculations. Your research and analysis should be present within the answers provided on the worksheet. Grading RubricFFCBA01234Not SubmittedNo PassCompetenceProficiencyMasteryNot SubmittedDid not correctly solve a majority of the problems or at least one problem left blank.Correctly solved a majority of the problems.Correctly solved almost all the problems.All problems are solved correctly.Not SubmittedVery few steps are provided to explain how to solve the problem OR the steps provided have several errors.Fairly complete and detailed steps are provided to explain how to solve the problem OR the steps provided have some errors.Mostly complete and detailed steps are provided to explain how to solve the problem.Complete and detailed steps are provided to explain how to solve the problem.Not SubmittedExplanations generally lack a basic understanding of the statistical concepts or lack of proper terminology.Explanations demonstrate a basic understanding of most of the statistical concepts and terminology, but some explanations may be incomplete or incorrect.Explanations demonstrate a proficient understanding of most of the statistical concepts and terminology, but with small errors.Explanations demonstrate a mastery of understanding of the statistical concepts and terminology.Not SubmittedThe majority of variables, equations, and expressions are not properly formatted.The majority of variables, equations, and expressions are properly formatted.Almost all variables, equations, and expressions are properly formatted.All variables, equations, and expressions are properly formatted.

Choose a state which runs lotteries.a. Calculate your odds of winning if you spend $1 on an entry.b. Calculate your odds of winning if you spend $50 on an entry.c. Compare these odds to the odds of being in a car accident, plane crash, struck by lightning, or hit by a meteorite. These numbers are out there so search for them.

Hi Bianca, You helped me the other day on homework. I was wondering if you are interested in another homework problem to do? This is the following problem........Submission instructions: compute and handwrite solutions submit all work/setup which calculations 1a-c. Suppose we have a new type of MBS to accommodate the short-term investor. This new MBS security instrument contains only 5-year mortgages (in reality are rare if non-existent). ACME, a private secondary mortgage market, has pooled together ten $100,000 5-year mortgage loans. Note: To save space in writing out your work, you can scale the ten $100,000 to $100. Calculate the duration for this MBS pool assuming annual compounding for three years at 10 percent interest which a.is a “zero coupon”b. is an interest-only MBS. c. is fully amortizable over the five years. 2. Now assume that the interest-only MBS in problem 2b. is prepayable (but not defaultable). Use the option-theoretic model to price this MBS. Interest rates have a 50% chance of going up 1% each year and a 50% chance of going down 1% each year. From your results, qualitatively compare the MBS value without prepayment to the MBS value with prepayment. Note: To save space in writing out your work, you can scale the ten $100,000 to $100. – in your solution show the work/setup which includes the calculations for all steps in Slide 17’s Option Pricing Lecture