Answered step by step
Verified Expert Solution
Question
1 Approved Answer
clearly write the ranges please. Problem 10-24 Using Return Distributions [LO 3] Suppose the returns on long-term government bonds are normally distributed. Assume long-term government
clearly write the ranges please.
Problem 10-24 Using Return Distributions [LO 3] Suppose the returns on long-term government bonds are normally distributed. Assume long-term government bonds have a mean return of 6.7 percent and a standard deviation of 10 pc What is the probability that your return on these bonds will be less than -13.3 percent in a given year? Use the NORMDIST function in Excele to answer this question. (Do not round in calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Probability % What range of returns would you expect to see 68 percent of the time? (A negative answer should be indicated by a minus sign. Input your answers from lowest to highest to re your answers. Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) Expected range of returns % to % What range would you expect to see 95 percent of the time? (A negative answer should be indicated by a minus sign. Input your answers from lowest to highest to receive cre answers. Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, ... 32.16.) Expected range of retums % to 9 References eBook & Resources Section 104 The Variability of Returns The Second Lesson Worksheet Difficulty 2 Intermediate Problem 10-24 Using Return Distributions [LO 3] Learning Objective 10-03 Explain the historical risks on various important types of investments Check my work O Type here to searchStep by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started