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25 1.00

0.90

20 0.80

0.70

15 0.60

0.50

10 0.40

0.30

5 0.20

0.10

0 0.00
-INF - 0 0.5 - 1 1.5 - 2 2.5 - 3 3.5 - 4 4.5 - 5 5.5 - 6 6.5 - 7 7.5 - 8 8.5 - 9 9.5 - 10

Number of Grades within Range Cumulative

Question 1

10% 50% 90%

Question 2

10% 50% 90%

Question 3

10% 50% 90%

Question 4

10% 50% 90%

Question 5

10% 50% 90%

Question 6

10% 50% 90%

Question 7

10% 50% 90%

Question 8

10% 50% 90%

Question 9

10% 50% 90%

Question 10

10% 50% 90%

-1.00 -0.50 0.00 0.50 1.00

Score on HW Question (./1)

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0.6
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$75 Red Sox lose $125
0.6

Red Sox win $500

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0.4 Red Sox win $0
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$0 Red Sox lose $125
0
$275 Red Sox win $500
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$0 Red Sox lose $0
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0.6 Red Sox win $0
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exercise option
0.6 $40.00 (=50-10)
price goes up 50 40 0.56
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0 90
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$90.00 (=100-10)
Buy option 100 90 0.84
0.838717
-10 63.76036
0.73 exercise option
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price goes down 50 40 0.56
1 0.555556
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1 0.56 do not exercise option
$63.76 $20.00 (=30-10)
0.725 30 20 0.33
0.333333
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price goes up
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