Question: 4. volue: 0.50 pcints Problem 10-26 Using Return Distributions Suppose the returns on an asset are normally distributed. Suppose the historical average annual retum for
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volue: 0.50 pcints Problem 10-26 Using Return Distributions Suppose the returns on an asset are normally distributed. Suppose the historical average annual retum for the asset was 6.3 percent and the standard deviation was 16.3 percent. What is the probability that your return on this asset wil be less than -3.7 percent in a given year? Use the NORMDIST function in Excel to answer this question. (Do not round intenmediate calculations. Enter your answer as a percent rounded to 2 decimal places (e.g, 32.16).) rounded to 2d eS Probability What range of returns would you expect to see 95 percent of the time? (Enter your answers for the range from lowest to highest. Negative amounts should be Indicated by a minus sign. Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places (e.g-, 32.16) 95% level to What range would you expect to see 99 percent of the time? (Enter your answers for the range from lowest to highest. Negative amounts should be indicated by a minus sign. Do not round intemmediate calculations. Enter your answers as a percent rounded to 2 decimal places (e.g 32.16).) si. 99% level %to
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