If the Standard Deviation of a Stock's Returns Over the Last

question 64

Multiple Choice

If the standard deviation of a stock's returns over the last 12 quarters is 4 percent, and if there is no perceived change in volatility, there is a ____ percent probability that the stock'sreturns will be within ____ percentage points of the expected outcome.

• A) 68; 4
• B) 68; 8
• C) 95; 8
• D) 95; 6
• E) none of the above

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Definitions:

Primary groups

Small social groups characterized by close, personal, and enduring relationships, such as family or close friends.

Long-term

Pertaining to a prolonged period of time, often extending beyond what is usual or expected.

Intimate relationships

Deeply personal connections between individuals characterized by emotional attachment, love, trust, and ongoing personal interaction.

Group dynamics

The study of the behavioral interactions and psychological processes occurring within a social group.