Suppose the returns on long-term corporate bonds are normally distributed. The average annual return for long-term corporate bonds from 1926 to 2007 was 6.9 percent and the standard deviation of those bonds for that period was 8.3 percent.

Required:

(a)	Based on this historical record, what is the approximate probability that your return on these bonds will be less than -3.3 percent in a given year? (Do not round intermediate calculations.)

(Click to select)11.40%11.51%10.96%10.41%21.92%

(b)	What range of returns would you expect to see 95 percent of the time? (Do not round intermediate calculations.)

(Click to select)-9.21% to 22.33%-5.50% to 22.10%-9.70% to 23.50%-18.00% to 31.80%-10.18% to 24.68%

(c)	What range would you expect to see 99 percent of the time? (Do not round intermediate calculations.)

(Click to select)-9.70% to 23.50%-17.10% to 30.21%-18.00% to 31.80%-12.40% to 29.00%-18.90% to 33.39%