You have an investment with the following history of returns: 3. 30 -10%a 201 50 25%a 6C 40 80 -22%a 19%a 43%aa 26%a 10%a 13%a You believe that the history ofreturns for this investment is a good indication ofwhat to expect going forward. What is the expected return, standard deviation of returns, and 95% confidence interval for this investment?T

EBK CFIN
6th Edition
ISBN:9781337671743
Author:BESLEY
Publisher:BESLEY
Chapter8: Risk And Rates Of Return
Section: Chapter Questions
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You have an investment with the following history of returns:
3.
30
-10%a
201
50
25%a
6C
40
80
-22%a
19%a
43%aa
26%a
10%a
13%a
You believe that the history ofreturns for this investment is a good indication ofwhat to
expect going forward. What is the expected return, standard deviation of returns, and
95% confidence interval for this investment?T
Transcribed Image Text:You have an investment with the following history of returns: 3. 30 -10%a 201 50 25%a 6C 40 80 -22%a 19%a 43%aa 26%a 10%a 13%a You believe that the history ofreturns for this investment is a good indication ofwhat to expect going forward. What is the expected return, standard deviation of returns, and 95% confidence interval for this investment?T
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