Series Average return What range of returns would you expect to see 68 percent o

Question

  Series

Average return

What range of returns would you expect to see 68 percent of the time for large-company stocks? (Negative amount should be indicated by a minus sign. Input your answers from lowest to highest to receive credit for your answers. Do not round intermediate calculations. Enter your answers as a percentage rounded to 2 decimal places (e.g., 32.16).)

What about 95 percent of the time? (Negative amount should be indicated by a minus sign. Input your answers from lowest to highest to receive credit for your answers. Do not round intermediate calculations. Enter your answer as a percentage rounded to 2 decimal places (e.g., 32.16).)

Explanation / Answer

Range of expected returns for 68%:

= 12.3%-20.6% to 12.3%+20.6%

= -8.3% to 32.9%

Range of expected returns for 95%:

= 12.3%-2×20.6% to 12.3%+2×20.6%

= -28.9% to 53.5%

Related Questions

Navigate

• Browse (All)
• Browse S
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.