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2. Define VARIANCE and STANDARD DEVIATION. A) For a stock with a mean equal to a 10% return and a standard deviation of 23%, draw
2. Define VARIANCE and STANDARD DEVIATION. A) For a stock with a mean equal to a 10% return and a standard deviation of 23%, draw a bell shaped curve that illustrate this result. B) What range of prices would you expect to see 95% of the time? C) Explain why a higher variance or standard deviation of a stock's prices translates to "higher RISK
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