If returns of S&P 500 stocks are normally distributed, what range of returns would you expect to see 95% of the time? Base your answer on the information below. Small Stocks S&P 500 Corporate Bonds Average Return Standard Deviation of 19.03% 38.77% 11.14% 6.83% 19.32% 6.41% returns T-Bills 3.62% 3.33% The 95% prediction interval of the S&P500 is between % and Round to two decimal places and put the lower number first.)

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter8: Analysis Of Risk And Return
Section: Chapter Questions
Problem 7P
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If returns of S&P 500 stocks are normally distributed, what range of returns would you expect to see 95% of the time?
Base your answer on the information below.
Small Stocks
S&P 500
Corporate Bonds
Average Return
Standard Deviation of
19.03%
38.77%
11.14%
6.83%
19.32%
6.41%
returns
T-Bills
3.62%
3.33%
The 95% prediction interval of the S&P500 is between
% and
Round to two decimal places and put the lower
number first.)
Transcribed Image Text:If returns of S&P 500 stocks are normally distributed, what range of returns would you expect to see 95% of the time? Base your answer on the information below. Small Stocks S&P 500 Corporate Bonds Average Return Standard Deviation of 19.03% 38.77% 11.14% 6.83% 19.32% 6.41% returns T-Bills 3.62% 3.33% The 95% prediction interval of the S&P500 is between % and Round to two decimal places and put the lower number first.)
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