The Average Annual Return for the S&P 500 from 1886

question 68

Multiple Choice

The average annual return for the S&P 500 from 1886 to 2006 is 15%, with a standard deviation of 25%. Based on these numbers, what is a 95% confidence interval for 2007's returns?

• A) -35%, 65%
• B) -17.5%, 32.5%
• C) -25%, 55%
• D) -20%, 50%

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