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A stock has an expected rate of return of 14.2 percent and a standard deviation of 23.4 percent. Which one of the following best describes
A stock has an expected rate of return of 14.2 percent and a standard deviation of 23.4 percent. Which one of the following best describes the probability that this stock will lose more than 20 percent of its value in any one year?
A. Approximately 11 percent.
B. Approximately 7 percent
C. Less than 2 percent
D. Between 2 percent and 5 percent
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