Multiple Choice
A stock has an expected rate of return of 9.8 percent and a standard deviation of 15.4 percent. Which one of the following best describes the probability that this stock will lose at least half of its value in any one given year?
A) less than 16 percent
B) less than .5 percent
C) less than 1.0 percent
D) less than 2.5 percent
E) less than 5.0 percent
Correct Answer:
Verified
Correct Answer:
Verified
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