Five hummingbirds drink 7.5 ounces of sugar water a day. How much sugar water is needed for 14 hummingbirds? Sugar water needed
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Probability distributions are also frequently applied to various risk management to assess the likelihood and magnitude of damages that an investment portfolio will experience based on a distribution of historical returns. The value-at-risk measure is a prominent risk management indicator in investing (VaR). VaR calculates the smallest possible loss for a portfolio given a probability and time frame. Conversely, an investor can use VaR to calculate the likelihood of loss for a given amount of loss and time frame. One of the key reasons for the 2008 financial crisis was the overuse and dependence on VaR.
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