00:01
For this problem, we are asked to use the chart shown here to construct the relative frequency distribution using the following three outcomes, where a surge is that the dow was up by more than 300 points.
00:11
A plunge is when the dow was down by more than 300 points, and steady when the dow changed by 300 points or less.
00:19
So what i'm going to do here is i'm just going to put down a sort of enhanced or thickened red line indicating when we have our surge and plunge cutoffs.
00:30
300 and negative 300.
00:35
And we wanted to find the relative frequency distributions.
00:38
So i'll have x, then p of x, where i'll write surge, or just, actually, i guess we need su at least for surge, plunge p and then st for steady.
00:56
So if we look here, can first note that we have total of 20 days on our chart.
01:05
Then that means that for each, actually, what i'll do is first i'll note down the frequency of each different possibility than the relative frequency...