Question: Normal probability distribution Assuming that the rates of return associated with a given asset investment are normally distributed, that the expected return, r, is 15.8%;
Normal probability distribution Assuming that the rates of return associated with a given asset investment are normally distributed, that the expected return, r, is 15.8%; and that the coefficient of variation, CV, is 0.26 answer the following questions: a. Find the standard deviation of returns, o b. Calculate the range of expected return outcomes associated with the following probabilities of occurrence: (1) 68%, (2)95%, (3) 99% a. The standard deviation of returns, or, is % (Round to three decimal places.) b. (1) The lowest possible expected return associated with the 68% probability of occurrence is %. (Round to two decimal places.) The highest possible expected return associated with the 68% probability of occurrence is %. (Round to two decimal places) (2) The lowest possible expected return associated with the 95% probability of occurrence is 1% (Round to two decimal places) The highest possible expected return associated with the 95% probability of occurrence is % (Round to two decimal places) (3) The lowest possible expected return associated with the 99% probability of occurrence is % (Round to two decimal places.) The highest possible expected return associated with the 99% probability of occurrence is % (Round to two decimal places.) Enter your answer in each of the answer boxes
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