Question
Calculate the 95% prediction intervals for the four different investments included in the following table. S&P 500 12.55% 20.83% Average Return Standard Deviation of
Calculate the 95% prediction intervals for the four different investments included in the following table. S&P 500 12.55% 20.83% Average Return Standard Deviation of returns Small Stocks 18.78% 39.05% Corporate Bonds 6.46% 7.83% The 95% prediction interval of small stocks is between -59.32 % and 96.88%. (Round to two decimal places and put the lower number first.) The 95% prediction interval of the S&P500 is between -29.11% and 54.21 %. (Round to two decimal places and put the lower number first.) The 95% prediction interval of corporate bonds is between % and %. (Round to two decimal places and put the lower number first.) T-Bills 4.16% 3.89%
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Fundamentals of Corporate Finance
Authors: Berk, DeMarzo, Harford
2nd edition
132148234, 978-0132148238
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