3. At the beginning of Week 1, the value of the company's stock was 177 points. An investor tells his broker to sell his shares of stock if the value falls below 170 points at the end of Week 4. Should the broker sell the shares? Explain.



Answer :

To determine if the broker should sell the shares, we must compare the value of the company's stock at the end of Week 4 to the threshold value of 170 points. Here's the step-by-step reasoning:

1. Initial Data Given:
- At the beginning of Week 1, the stock value was 177 points.
- The investor's instruction to the broker was to sell if the stock value falls below 170 points at the end of Week 4.

2. Data Missing for Decision:
- We need the exact value of the company's stock at the end of Week 4 to make an informed decision whether to sell or not.

3. Conclusion Based on Available Data:
- Since the value of the stock at the end of Week 4 is not provided, it is impossible to determine whether the stock value fell below the 170 points threshold.
- Without this crucial piece of information, the broker cannot decide if they should sell the shares.

Final Answer: The broker should not make any decision to sell the shares due to insufficient data. Specifically, the value of the company's stock at the end of Week 4 is unknown, so it is not possible to determine if it fell below 170 points or not. Therefore, the only conclusion that can be drawn with the given information is that there is "Insufficient data to decide".