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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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