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Professor Cautious wants to estimate how risky her stock portfolio is. Using 10 samples of yearly historical data, she calculates the volatility (standard deviation) of

Professor Cautious wants to estimate how risky her stock portfolio is. Using 10 samples of yearly historical data, she calculates the volatility (standard deviation) of the portfolio's returns to be 10%, but she isn't satisfied with a point estimate. Derive 99% confidence bounds for the volatility of her stocks.

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