A Stock Has Returns of 3%,18%,-24%,and 16% for the Past

question 26

Multiple Choice

A stock has returns of 3%,18%,-24%,and 16% for the past four years. Based on this information,what is the 95% probability range for any one given year?

• A) -8.4 to 11.7%
• B) -16.1 to 22.6%
• C) -24.5 to 34.3%
• D) -35.4 to 41.9%
• E) -54.8 to 61.3%

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Definitions:

Third Party

An entity that is not directly involved in a transaction or agreement but may be affected by it or play a role in its execution.

Mutually Acceptable Agreement

An agreement reached by all parties involved that satisfies the interests and needs of each party.

AT&T Mobility LLC v. Concepcion

A Supreme Court case ruling that the Federal Arbitration Act preempts state laws prohibiting contracts from disallowing class action lawsuits.

FAA Preempted

The notion that federal aviation regulation by the Federal Aviation Administration supersedes state laws and regulations that relate to aviation safety.