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Series Average return What range of returns would you expect to see 95 percent o

ID: 2750246 • Letter: S

Question


  

  Series

Average return


  

What range of returns would you expect to see 95 percent of the time for large-company stocks? (Negative amount should be indicated by a minus sign. Input your answers from lowest to highest to receive credit for your answers. Do not round intermediate calculations. Enter your answers as a percentage rounded to 2 decimal places (e.g., 32.16).)


  


  

What about 99 percent of the time? (Negative amount should be indicated by a minus sign. Input your answers from lowest to highest to receive credit for your answers. Do not round intermediate calculations. Enter your answer as a percentage rounded to 2 decimal places (e.g., 32.16).)


  

Consider the following table for the total annual returns for a given period of time.

Explanation / Answer

Average STD 95% range of returns 99% range of returns Large-company stocks 10.8 % 21.1 % Confidence Interval: ±0.04 Range for the true population mean: 7% to 15% Confidence Interval: ±0.05 Range for the true population mean: 5% to 16%

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