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The annual return on an S&P 500 index mutual fund over the next 40 years has a normal distribution with expected value of 10% and

The annual return on an S&P 500 index mutual fund over the next 40 years has a normal distribution

with expected value of 10% and standard deviation of 22%. What is the expected ending value of

$10,000 invested in the mutual fund? What would happen to the expected terminal wealth if the

standard deviation were 30%? (show answer in excel)

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