We have been told that in history, the one-year returns follow approximately the normal distribution. Given that the one-year return for the S&P 500 was +27% (that is, 0.27) and its S.D (standard deviation) is 20% (that is, 0.2). (i) Determine the probability that a stock in the S&P 500 gained 30% or more last yearrrrr? (ii) DEtermine the probability that a stock in the S&P 500 lost 10% or more last year? (iii) Determine the probability that a stock in the S & P lost 14% or more last year?

Q: Intelligence Quotient (IQ) scores are often reported to be normally distributed with μ=100.0 and…

A: Given that By using z standard normal table

Q: ) Annual returns on the more than 5000 common stocks available to investors vary a lot. In a recent…

A: Hi! Thank you for the question, As per the honor code, we are allowed to answer one question at a…

Q: b. If a sample of 25 employees is chosen at random, what is the probability that their average…

A: Answer:- Given, Mean (µ) = 5.7  And standard deviation (σ) = 1.8 Using formula, Z-score= (X- µ)/σ…

Q: An insurance company insures 10,000 cars. For each car, the expected amount claimed in a year is…

A: Given: Expected claim amount in a year μ = $400 Standard deviation σ = $2000 Company cost per policy…

Q: n a recent​ year, the scores for the reading portion of a test were normally​ distributed, with a…

A: Given that, Mean = 22.9 Standard deviation = 6.7

Q: The lifetime of an automobile voltage regulator follows an exponential distribution with a mean…

A:

Q: The population mean annual salary for an electrician is $46,700.A random sample of 42 electricians…

A:

Q: Business Weekly conducted a survey of graduates from 30 top MBA programs. On the basis of the…

A: As per our guidelines we are suppose to do only three subparts GivenMean(μ)=176000standard…

Q: IQ scores are normally distributed with a mean of 100 and a standard deviation of 15.What is the…

A:

Q: Suppose that the value of a stock varies each day from $18 to $27 with a uniform distribution. (a)…

A: Note: Hi there! Thank you for posting the question. As there are multiple sub parts, according to…

Q: Stock A has the expected return of 0.06 and standard deviation of O.10. Stock B has the expected…

A: The variance of the portfolio composed of stock 1 and stock 2, is measure of risk associated with…

Q: expected return is 13% with a standard deviation of 30%.

A:

Q: soon-to-be-introduced cell phone has an expected service life that can be modeled by a normal…

A: Given Consider the following information given - Mean service life = 6 years Standard deviation of…

Q: n the country of United States of Heightlandia, the height measurements of ten-year-old children are…

A: It is given that the mean is 54.6 and standard deviation is 1.5.

Q: n a recent year the scores for the reading portion of a test were normally distributed with a mean…

A: we have to find given probability..

Q: The incomes of a certain large population of electricians follow a Normal distribution with mean…

A: Consider that the mean and standard deviation of a random variable X are µ and σ, respectively.…

Q: High blood pressure has been identified as a risk factor for heart attacks and strokes. The National…

A: Given data: p = 0.3 n = 38

Q: Suppose that you have a 5% chance of having a car accident in the next year, and that your loss…

A: There is a 5% chance of having a car accident in the next year and 95% chance of not having any car…

Q: Suppose the returns on long-term corporate bonds are normally distributed. Suppose the historical…

A: The population mean is 6.6% and the standard deviation is 16.5%.

Q: Historically, the one-year returns follow approximately the normal distribution. The one-year return…

A: Solution: Let X be the one-year return for the S&P 500 has approximately normal distribution…

Q: SAT test scores are normally distributed with a mean of 500 and a standard deviation of 100. Find…

A: Given: Let X be the SAT test scores Mean(X)=500 SD(X)=100   X~ Normal(500, 1002)

Q: A certain brokerage house wants to estimate the mean daily return on a certain stock. A random…

A: We know that, Confidence interval for mean is given by, (X bar+ - Z* sigma/√n) Where X bar is…

Q: (a) What is the probability that next year the total precipitation for New York State is more than…

A: (a) The random variable X is defined as the annual precipitation amount which follows normal…

Q: The time between goals (in minutes) for a professional soccer team during a recent season can be…

A:

Q: assume that the daily retun on Apple stock is approximately normally distributed  with the mean…

A: From the provided information, Mean (µ) = 0.13% Standard deviation (σ) = 2.34% X~N (0.13, 2.34)

Q: utomobile repair costs continue to rise with the average cost now at $320 per repair. Assume that…

A: Given data,μ=320σ=50

Q: Suppose that the annual rate of return for a common biotechnology stock is normally distributed with…

A: Given Mean=4% Standard deviations=5%

Q: The acidity of human​ blood, measured on a pH​ scale, is a normal random variable with a mean of 7.4…

A:

Q: You have just started a coffee stand at the Saturday Market, and you prepare fresh brewed coffee…

A: Mean =10, standard deviations=sd=1.2

Q: sample of 31 years of rainfall for California and a sample of 49 years of rainfall for New York has…

A: Given information for State of California: Mean, μ=22. Standard deviation, σ=4. Sample size, n=31.…

Q: A manufacturer of battery claims that the life of his batteries is approximately normally…

A: Suppose the random variable x defines the battery life.

Q: survey, assume the mean annual salary for graduates 10 years after graduation is $152,000. Assume…

A: Hello. Since your question has multiple parts, we will solve first 3 sub parts question for you. If…

Q: Most exhibition shows open in the morning and close in the late evening. A study of Saturday arrival…

A: a).From the provided information, Let x be the arrival time which follows normal distribution with…

Q: WNAE, an all-news AM station, finds that the distribution of the lengths of time listeners are tuned…

A: 1. The Z-score of a random variable X is defined as follows: Z = (X – µ)/σ. Here, µ and σ are the…

Q: Empirical research on stock market data for two consecutive trading days indicates that 60% of the…

A: Solution:  Given information:  n= 600 Sample size  p= 0.60 Population proportion

Q: You make an investment. Assume that annual returns are normally distributed with a mean return of…

A: Given Information: Mean μ=0.05 Standard deviation σ=0.20

Q: On average, TV crash after 17,000 hours of continuous use. Although the time for the TV to crash is…

A: Given problem Given that   On average, TV crash after 17,000 hours of continuous use. Although the…

Q: Month Madison Cookies Sophie Electric 1 -0.04 0.07 2 0.06 -0.02 3 -0.07…

A: Given stock data set: Month Madison cookies (X) Sophie electric (Y) 1 -0.04 0.07 2 0.06 -0.02…