The Normal Distribution Is a Theoretical Distribution for a Population

question 32

Multiple Choice

The normal distribution is a theoretical distribution for a population. The distribution can be used to estimate how risky a cash flow or return is. If the mean is 12% and the standard deviation is 22.6%, what is the range of possible returns for a 2 standard deviation change and what percentage of all observations would fall within 2 standard deviations?

• A) 24%, 68%.
• B) 24%, 96%.
• C) 90%, 68%.
• D) 90%, 96%.

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Definitions:

Plant Sources

Refers to plants or parts of plants used as food, materials, or energy.

Overfed

The state of consuming more food energy than the body requires for its basic needs and physical activity, often leading to weight gain.

Undernourished

The condition of having insufficient food or nutrients, leading to health problems related to a deficiency in calories or nutrients.

Glycemic Index

A measure that ranks foods on a scale from 0 to 100 based on the extent to which they raise blood sugar levels after eating.