The average return for large-cap domestic stock funds over the three years 2009–2011 was 14.6%. Assume the three-year re
Posted: Sun Jul 10, 2022 10:10 am
The average return for large-cap domestic stock funds over thethree years 2009–2011 was 14.6%. Assume the three-year returns werenormally distributed across funds with a standard deviation of4.8%. Use Table 1 in Appendix B.
a. What is the probability an individuallarge-cap domestic stock fund had a three-year return of at least20% (to 4 decimals)?
b. What is the probability an individuallarge-cap domestic stock fund had a three-year return of 10% orless (to 4 decimals)?
c. How big does the return have to be toput a domestic stock fund in the top 10% for the three-year period(to 2 decimals)? %
a. What is the probability an individuallarge-cap domestic stock fund had a three-year return of at least20% (to 4 decimals)?
b. What is the probability an individuallarge-cap domestic stock fund had a three-year return of 10% orless (to 4 decimals)?
c. How big does the return have to be toput a domestic stock fund in the top 10% for the three-year period(to 2 decimals)? %