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In the last quarter of 2007, a group of 64 mutual funds had a mean return of 2.4% with a standard deviation of 5.6%. If
In the last quarter of 2007, a group of 64 mutual funds had a mean return of
2.4%
with a standard deviation of
5.6%.
If a normal model can be used to model them, what percent of the funds would you expect to be in each region? Use the 68-95-99.7 rule to approximate the probabilities rather than using technology to find the values more precisely. Be sure to draw a picture first.
a) Returns of 3.2% or less | b) Returns of 2.4% or more |
c) Returns between 14.4% and 19.2% | d) Returns of less than 8.8% |
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