Question: An analyst stated that normal distributions are suitable for describing asset returns and that lognormal distributions are suitable for describing distributions of asset prices. The

An analyst stated that normal distributions are suitable for describing asset returns and that lognormal distributions are suitable for describing distributions of asset prices. The analyst's statement is correct in regard to:
A. both normal distributions and lognormal distributions
B. normal distributions, but incorrect in regard to lognormal distributions
C. lognormal distributions, but incorrect in regard to normal distributions?

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