A financial analyst creates the following probability distribution for the performance of an equity income mutual fund.

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a. Use 1 = very poor, 2 = poor,... , 5 = very good to depict the above probability distribution graphically.
Comment on the optimism or pessimism depicted in the analyst's estimates.

b. Convert the above probability distribution to a cumulative probability representation.

c. W h a t is th e p ro b a b ility th a t th is m u tu a l fu n d w ill d o well? L05

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Business Statistics Communicating With Numbers

ISBN: 9780071317610

1st Edition

Authors: Kelly Jaggia

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Question Posted: Sep 19, 2024 10:00 PM

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A financial analyst creates the following probability distribution for the performance of an equity income mutual fund.

Question:

Performance Probability Very poor 0.14 Poor 0.43 Neutral 0.22 Good 0.16 Very good 0.05

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Business Statistics Communicating With Numbers

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