Question: Problem 10-17 Return Distributions [LO 3] Consider the following table for the total annual returns for a given period of time. Series Average return Standard
Problem 10-17 Return Distributions [LO 3]
Consider the following table for the total annual returns for a given period of time.
| Series | Average return | Standard Deviation | ||
| Large-company stocks | 11.7 | % | 20.6 | % |
| Small-company stocks | 16.4 | 33.0 | ||
| Long-term corporate bonds | 5.4 | 8.2 | ||
| Long-term government bonds | 6.1 | 9.4 | ||
| Intermediate-term government bonds | 5.6 | 5.7 | ||
| U.S. Treasury bills | 3.8 | 3.1 | ||
| Inflation | 3.1 | 4.2 | ||
What range of returns would you expect to see 68 percent of the time for long-term corporate bonds? (A negative answer should be indicated by a minus sign. Input your answers from lowest to highest to receive credit for your answers. Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) Expected range of returns % to %
What about 95 percent of the time? (A negative answer should be indicated by a minus sign. Input your answers from lowest to highest to receive credit for your answers. Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) Expected range of returns % to %
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