You Have a Portfolio Which Has an Average Return of 10.3

question 71

Multiple Choice

You have a portfolio which has an average return of 10.3 percent.In any given year,you have a 2.5 percent probability of earning either a zero or a negative annual return.What is the approximate standard deviation of your portfolio?

• A)5.26 percent
• B)6.43 percent
• C)6.94 percent
• D)7.60 percent
• E)8.14 percent

---

Definitions:

Conditioning Trial

An experimental setup in classical conditioning where a neutral stimulus is paired with an unconditioned stimulus until the neutral stimulus alone elicits a conditioned response.

Voluntary Action

An activity or action undertaken by an individual out of free will, without external compulsion or coercion.

Stimulus Generalization

A psychological phenomenon in which a response to a specific stimulus becomes associated with similar stimuli, causing the same response.

Stimulus Discrimination

Stimulus Discrimination is the learned ability to differentiate among similar stimuli and respond only to the actual stimulus linked to a positive or negative reinforcement.