Assume that the average annual historical return for shares that comprise the Australian All Ordinaries index is
Fantastic news! We've Found the answer you've been seeking!
Question:
Assume that the average annual historical return for shares that comprise the Australian All Ordinaries index is 12%, and the standard deviation of returns is 20%. Based on these numbers, what is a 95% prediction interval for 2016 returns?
A. -20%, 35%
B. -10%, 40%
C. -28%, 52%
D. -15%, 35%
Please show detailed process.
Posted Date: