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Suppose you are given the following end of year stock price data for Random Inc. stock....

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Finance

Suppose you are given the following end of year stock price datafor Random Inc. stock. Assume the returns are normally distributed,calculate the probability that an investor will earn more than 1.5%in a given year (e.g. Prob(Ret>1.5%)). (Enter percentages asdecimals and round to 4 decimals). Year Price 2005 50.25 2006 66.492007 79.72 2008 83.81 2009 88.38 2010 84.39 2011 91.1 2012 82.172013 86.39 2014 76.35 2015 85.47 2016 86.07

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We shall calculate the probability that an investor will earn more than 15 in a given year as follows SNo Years Computation of returns Return Whether More than 150 1    See Answer
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Suppose you are given the following end of year stock price datafor Random Inc. stock. Assume the returns are normally distributed,calculate the probability that an investor will earn more than 1.5%in a given year (e.g. Prob(Ret>1.5%)). (Enter percentages asdecimals and round to 4 decimals). Year Price 2005 50.25 2006 66.492007 79.72 2008 83.81 2009 88.38 2010 84.39 2011 91.1 2012 82.172013 86.39 2014 76.35 2015 85.47 2016 86.07

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