The historical annual average return on long-term government bonds is 5.8% and its standard deviation is 9.3%. Suppose the returns on the long-term government bonds are normally distributed. Based on the information, what is the approximate probability that your return on these bonds will be less than -3.5 per cent in a given year? What range of returns would you expect to see 95 per cent of the time?

The historical annual average return on long-term government bonds is 5.8% and its standard deviation is 9.3%. Suppose the returns on the long-term government bonds are normally distributed. Based on the information, what is the approximate probability that your return on these bonds will be less than -3.5 per cent in a given year? What range of returns would you expect to see 95 per cent of the time?

MATLAB: An Introduction with Applications

6th Edition

ISBN:9781119256830

Author:Amos Gilat

Publisher:Amos Gilat

Chapter1: Starting With Matlab

Section: Chapter Questions

Problem 1P

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