Multiple Choice
The mean change in the value of a portfolio of trading assets has been estimated to be 0 with a standard deviation of 20 percent.Yield changes are assumed to be normally distributed. What is the maximum yield change expected if a 98 percent confidence (one-tailed) limit is used?
A) 3.30%.
B) 20.0%.
C) 33.0%.
D) 39.2%.
E) 46.6%.
Correct Answer:
Verified
Correct Answer:
Verified
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