Question: 4. [15 points] The continuously compounded annual return on a stock is normally distributed with a mean of 40% and standard deviation of 30%. With

 4. [15 points] The continuously compounded annual return on a stock

is normally distributed with a mean of 40% and standard deviation of

4. [15 points] The continuously compounded annual return on a stock is normally distributed with a mean of 40% and standard deviation of 30%. With 95.44% condence, we should expect its actual return in any particular year to be between which pair of values? Hint Look at Figure 5.4

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