The average return for large-cap domestic stock funds over the three years 2009-2011 was 14.5%. Assume the three-year returns were normally distributed across funds with a standard deviation of 4.9%. Use Table 1 in Appendix B. a. What is the probability an individual large-cap domestic stock fund had a three-year return of at least 20% (to 4 decimals)? b. What is the probability an individual large-cap domestic stock fund had a three-year return of 10% or less (to 4 decimals)? c. How big does the return have to be to put a domestic stock fund in the top 10% for the three-year period (to 2 decimals)? % Z .00 .01 .02 .03 .04 .05 .06 .07 .08 .09 -3.0 .0013 .0012 .0011 .0010 -2.9 -2.8 -2.7 -2.6 -2.5 .0013 .0019 .0026 .0035 .0047 .0062 .0018 .0024 .0033 .0044 .0059 .0017 .0023 .0032 .0043 .0057 .0014 .0019 .0026 .0036 .0048 -2.4 -23 -2.2 -2.1 -2.0 .0082 .0107 .0139 0179 .0228 .0013 .0018 .0025 .0034 .0045 .0060 .0080 .0104 .0136 .0174 .0222 .0281 .0351 .0436 .0537 .0655 .0078 .0102 .0132 .0170 .0217 .0075 .0099 .0129 .0166 .0212 .0012 .0016 .0023 .0031 .0041 .0055 .0073 .0096 .0125 .0162 .0207 .0262 .0329 .0409 .0505 .0618 -1.9 -1.8 -1.7 -1.6 -1.5 .0287 .0359 .0446 .0548 .0668 .0274 .0344 .0427 .0526 .0643 .0268 .0336 .0418 .0516 .0630 .0011 .0016 .0022 .0030 .0040 .0054 .0071 .0094 .0122 .0158 .0202 .0256 .0322 .0401 .0495 .0606 .0735 .0885 .1056 .1251 .1469 .1711 .1977 .2266 2578 .2912 .3264 .3632 4013 .4404 .4801 .0011 .0015 .0021 .0029 .0039 .0052 .0069 .0091 .0119 .0154 .0197 .0250 .0314 .0392 .0485 .0594 .0721 .0869 .1038 .12.30 .1446 .1685 .1949 .2236 2546 2877 3228 .3594 .3974 .4364 .4761 .0015 .0021 .0028 .0038 .0051 .0068 .0089 .0116 .0150 .0192 .0244 .0307 .0384 .0475 .0582 .0708 .0853 .1020 .1210 .1423 .1660 .1922 .2206 2514 .2843 .0010 .0014 .0020 .0027 .0037 .0049 .0066 .0087 .0113 0146 .0188 .0239 .0301 .0375 .0465 .0571 .0694 .0838 .1003 .1190 .1401 .1635 .1894 .2177 2483 .2810 .3156 .3520 .3897 .4286 4681 .0064 .0084 .0110 .0143 .0183 .0233 .0294 .0367 .0455 .0559 .0681 .0823 .0985 .1170 .1379 .1611 .1867 .2148 2451 .2776 -1.4 -1.3 -1.2 -1.1 -1.0 .0808 .0968 1151 .1357 .1587 .0778 .0934 .1112 .1314 .1539 .0764 .0918 .1093 .1292 .1515 .1762 2033 2327 2643 .2981 -9 - 8 -.7 -.6 -5 .0793 .0951 .1131 .1335 .1562 .1814 .2090 2389 .2709 .3050 .3409 .3783 4168 4562 .4960 .1841 .2119 .2420 .2743 3085 .1788 2061 .2358 .2676 .3015 .0749 .0901 .1075 .1271 .1492 .1736 .2005 .2296 .2611 .2946 3300 .3669 .4052 .4443 .4840 -.4 -2 -.1 -.0 3446 .3821 .4207 .4602 .5000 .3372 .3745 .4129 .4522 4920 .3336 .3707 4090 .4483 4880 .3192 .3557 .3936 .4325 .4721 .3121 .3483 .3859 .4247 .4641 .01 -02 13 14 105 IF .07 08 .09 0 1 2 3 4 5000 5398 5793 6179 6554 1.5040 15438 1.5832 .6217 .6591 15080 5478 15871 6255 .6628 5120 15517 1.5910 .6293 .6664 5160 5557 5948 .6331 .6700 5199 5596 15987 6368 6736 5239 15636 .6026 .6406 .6772 5279 15675 .6064 443 .6808 .5319 5714 .6103 6480 6844 5359 5753 .6141 .6517 .6879 7224 7549 7852 1.8133 1.8389 5 6 1.7 8 9 6915 7257 1.7580 1.7881 18159 .6950 1.7291 1.7611 1.7910 1.8186 6985 7324 1.7642 1.7939 8212 17019 7357 1.7673 17967 18238 17054 7389 1.7704 1.7995 1.8264 7088 7422 1.1734 18023 18289 17123 17454 1.7764 .8051 1.8315 7190 1.7517 1.7823 8106 18365 7157 7486 7794 .8078 1.8340 1.8577 1.8790 1.8980 19147 9292 1.0 11 12 13 14 18413 18643 18849 9032 9192 1.8438 1.8665 18869 .9049 19207 1.8461 18686 18888 9066 9222 1.8485 18708 18907 19082 9236 1.8508 18729 18925 9099 9251 18531 1.8749 18944 9115 19265 1.8554 8770 18962 1.9131 19279 1.8599 18621 .8810.8830 18997 19015 9162 9177 9306 9319 15 1.6 1.7 18 19 1.9332 9452 19554 19641 713 19345 19463 19564 19649 9719 1.9357 9474 19573 19656 19726 19370 19484 1.9582 19664 9732 9382 9495 1.9591 19671 9738 19394 1.9505 1.9599 19678 744 19418 19525 19616 19693 19756 19406 19515 1.9608 19686 19750 19803 19846 19881 1.9909 19931 2.0 2.1 2.2 23 2.4 9772 19821 19861 19893 9918 19778 19783 19826 19830 19864 19868 19896 19898 19920 9922 19788 19834 19871 19901 19925 19793 19838 19875 9904 19927 9798 19842 9878 1.9906 19929 1.9808 19850 19884 19911 19932 19429 1.9441 19535 19545 19625 19633 1.9699 9706 19761 19767 19812 1.9817 19854 19857 19887 19890 19913 19916 19934 19936 19951 19952 19963 19964 19973 19974 19980 19981 19986 19986 25 2.6 27 2.8 2.9 1.9938 19953 19965 19974 19981 19940 19955 19966 19975 19982 19941 19956 19967 19976 19982 19943 19957 19968 19977 19983 19945 19959 19969 19977 19984 19946 19960 19970 19978 19984 19948 19961 19971 19979 19985 19949 19962 19972 19979 19985 3.0 19987 19987 19987 19988 19988 19989 19989 19989 19990 19990