7.31 For the year 2018, the stock market in Germany had a mean return of -12.53%...
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7.31 For the year 2018, the stock market in Germany had a mean return of -12.53% in 2018. Assume that the returns for stocks on the German stock market were distributed normally, with a mean of -12.53% and a standard deviation of 10. If you select an individual stock from this population, what is the probability that it would have a return a. less than 0 (i.e., a loss)? b. between 10 and -20? c. greater than -5? If you selected a random sample of four stocks from this population, what is the probability that the sample would have a mean return d. less than 0 (a loss)? e. between 10 and -20? f. greater than -5? g. Compare your results in parts (d) through (f) to those in (a) through (c). 7.31 For the year 2018, the stock market in Germany had a mean return of -12.53% in 2018. Assume that the returns for stocks on the German stock market were distributed normally, with a mean of -12.53% and a standard deviation of 10. If you select an individual stock from this population, what is the probability that it would have a return a. less than 0 (i.e., a loss)? b. between 10 and -20? c. greater than -5? If you selected a random sample of four stocks from this population, what is the probability that the sample would have a mean return d. less than 0 (a loss)? e. between 10 and -20? f. greater than -5? g. Compare your results in parts (d) through (f) to those in (a) through (c).
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Statistics for Managers Using Microsoft Excel
ISBN: 978-0134173054
8th edition
Authors: David M. Levine, David F. Stephan, Kathryn A. Szabat
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