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Data Analytics and Modeling QUESTION 9 1 poi James has invested $10,000 in the bond market. The first month he earned what would be the

Data Analytics and Modeling

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QUESTION 9 1 poi James has invested $10,000 in the bond market. The first month he earned what would be the equivalent of a 5% annual return (compounded monthly) Every month after that, the return would move either up or down based on the probability distribution below. Simulate his returns for 2 years (24 months). Now do the simulation 1000 times. What percentage of the time did he end up with less money than he started ($10,000)? (Again, assume 25% would be input as 25, not 0.25.) Change in Annual Return Probability -2.0% 10% -1.0% 20% 0% 40% +1.0% 20% +2.0% 10% QUESTION 10 1 point For James' investment problem, what percentage of time would he end up with at least $1000 more than when he started? (Again, for a # like 25%, use 25, not 0.25)

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