Answered step by step
Verified Expert Solution
Question
00
1 Approved Answer
Say the average return on a stock is 12.0% and the standard deviation is 2.5%. Statistics tells us ? A. all the annual returns of
Say the average return on a stock is 12.0% and the standard deviation is 2.5%. Statistics tells us ?
A. all the annual returns of this stock will be 12.0% +/ 2.5 percentage points.
B. the stock is considered very risky.
C. that we can sort of think that about 68% of any particular annual return of this stock will fall between 9.5% and 14.5%.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-text-image.webp)
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-subtext-image.webp)
Step: 3
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-subtext-image.webp)
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started