You buy a stock that has an annual expected return of 20% and a standard deviation of 25%. Last year, investors in the stock lost 32.5% of their money and the year before they gained 40%. What is the probability that the outcome on this stock will be better than -32.5%, but less than +40% this year? Ⓒa. 18.75% b. 52.50% c. 78.82% Od. 22.97% e 77.03%
You buy a stock that has an annual expected return of 20% and a standard deviation of 25%. Last year, investors in the stock lost 32.5% of their money and the year before they gained 40%. What is the probability that the outcome on this stock will be better than -32.5%, but less than +40% this year? Ⓒa. 18.75% b. 52.50% c. 78.82% Od. 22.97% e 77.03%
A First Course in Probability (10th Edition)
10th Edition
ISBN:9780134753119
Author:Sheldon Ross
Publisher:Sheldon Ross
Chapter1: Combinatorial Analysis
Section: Chapter Questions
Problem 1.1P: a. How many different 7-place license plates are possible if the first 2 places are for letters and...
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Transcribed Image Text:You buy a stock that has an annual expected return of 20% and a standard deviation of
25%. Last year, investors in the stock lost 32.5% of their money and the year before they
gained 40%. What is the probability that the outcome on this stock will be better than
-32.5%, but less than +40% this year?
a. 18.75%
b. 52.50%
c. 78.82%
d. 22.97%
e. 77.03%
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