a. What percentage of returns were greater than 20%? Note: Do not round intermediate calculations. Round your final answer to 2 decimal places. Percentage of returns % b. What percentage of returns were below -16%? Note: Do not round intermediate calculations. Round your final answer to 2 decimal places. Percentage of returns %

MATLAB: An Introduction with Applications
6th Edition
ISBN:9781119256830
Author:Amos Gilat
Publisher:Amos Gilat
Chapter1: Starting With Matlab
Section: Chapter Questions
Problem 1P
icon
Related questions
Question

Vijay 

Exercise 5-51 Static
The historical returns on a balanced portfolio have had an average return of 8% and a standard deviation of 12%. Assume that returns
on this portfolio follow a normal distribution.
a. What percentage of returns were greater than 20%?
Note: Do not round intermediate calculations. Round your final answer to 2 decimal places.
Percentage of returns
%
b. What percentage of returns were below -16%?
Note: Do not round intermediate calculations. Round your final answer to 2 decimal places.
Percentage of returns
%
Transcribed Image Text:Exercise 5-51 Static The historical returns on a balanced portfolio have had an average return of 8% and a standard deviation of 12%. Assume that returns on this portfolio follow a normal distribution. a. What percentage of returns were greater than 20%? Note: Do not round intermediate calculations. Round your final answer to 2 decimal places. Percentage of returns % b. What percentage of returns were below -16%? Note: Do not round intermediate calculations. Round your final answer to 2 decimal places. Percentage of returns %
Expert Solution
steps

Step by step

Solved in 4 steps with 7 images

Blurred answer
Recommended textbooks for you
MATLAB: An Introduction with Applications
MATLAB: An Introduction with Applications
Statistics
ISBN:
9781119256830
Author:
Amos Gilat
Publisher:
John Wiley & Sons Inc
Probability and Statistics for Engineering and th…
Probability and Statistics for Engineering and th…
Statistics
ISBN:
9781305251809
Author:
Jay L. Devore
Publisher:
Cengage Learning
Statistics for The Behavioral Sciences (MindTap C…
Statistics for The Behavioral Sciences (MindTap C…
Statistics
ISBN:
9781305504912
Author:
Frederick J Gravetter, Larry B. Wallnau
Publisher:
Cengage Learning
Elementary Statistics: Picturing the World (7th E…
Elementary Statistics: Picturing the World (7th E…
Statistics
ISBN:
9780134683416
Author:
Ron Larson, Betsy Farber
Publisher:
PEARSON
The Basic Practice of Statistics
The Basic Practice of Statistics
Statistics
ISBN:
9781319042578
Author:
David S. Moore, William I. Notz, Michael A. Fligner
Publisher:
W. H. Freeman
Introduction to the Practice of Statistics
Introduction to the Practice of Statistics
Statistics
ISBN:
9781319013387
Author:
David S. Moore, George P. McCabe, Bruce A. Craig
Publisher:
W. H. Freeman