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Given a Normal Distribution,assume You Want to Earn a Rate

question 22

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Given a normal distribution,assume you want to earn a rate of return that plots more than three standard deviations above the mean.What is your probability of earning such a return in any one year?


Definitions:

Elaborative Rehearsals

A memory technique that involves thinking about the meaning of the term to be remembered, as opposed to simply repeating the word to oneself.

Eyewitness Images

Visual recollections by individuals who have directly observed an event, whose accuracy can be influenced by many factors.

Relatively Permanent

Describes the enduring nature of changes in behavior or abilities due to learning or development, indicating that such changes are not easily reversible.

Muscle Memory

The ability of the body to perform a movement or series of movements with improved efficiency and accuracy after repeated practice, due to neurological and muscular adaptation.

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