An exchange rate has a given expected future value and standard deviation A Assuming that the exchange rate is normally distributed, what are the probabilities that the exchange rate will be at least 2 or 3 standard deviations away from its mean B Assume that you do not know the distribution of exc...

A The probabilities can be taken from a normal table in which the critica ...

An exchange rate has a given expected future value and standard deviation. A. Assuming that the exchange

Question:

An has a given expected and standard deviation.
A. Assuming that the is normally distributed, what are the probabilities that the will be at least 2 or 3 standard deviations away from its mean?
B. Assume that you do not know the of exchange rates. Use Chebyshev's inequality (that at least 1 − 1/k2 proportion of the observations will be within k standard deviations of the mean for any positive integer k greater than 1) to calculate the maximum probabilities that the will be at least 2 or 3 standard deviations away from its mean?
Distribution
The word "distribution" has several meanings in the financial world, most of them pertaining to the payment of assets from a fund, account, or individual security to an investor or beneficiary. Retirement account distributions are among the most... Exchange Rate
The value of one currency for the purpose of conversion to another. Exchange Rate means on any day, for purposes of determining the Dollar Equivalent of any currency other than Dollars, the rate at which such currency may be exchanged into Dollars... Future Value
Future value (FV) is the value of a current asset at a future date based on an assumed rate of growth. The future value (FV) is important to investors and financial planners as they use it to estimate how much an investment made today will be worth...