What range would you expect to see 99 percent of the time

Assignment Help Finance Basics
Reference no: EM13273470

Suppose the returns on long-term government bonds are normally distributed. Based on the historical record, what is the approximate probability that your return on these bonds will be less than -3.3 percent in a given year? What range of returns would you expect to see 95 percent of the time? What range would you expect to see 99 percent of the time?

Reference no: EM13273470

Questions Cloud

network structure-Management Information system : Which of the following is true of a network structure? The Management Information system (MIS) structure with one main computer system is called a
Remove a table from the database in SQL : A large computer information system maintains many different computer files. Which amongst them is called a perpetual file?  Which command is used to remove a table from the database in SQL?
How much of the third payment is interest : How much of the third payment is interest? Do not enter the symbol $ in your answer. Simply enter the answer rounded off to two decimal points.
Database administrator's function : Primitive operations common to all record management systems include. Which of the following is a database administrator's function?
What range would you expect to see 99 percent of the time : What range of returns would you expect to see 95 percent of the time? What range would you expect to see 99 percent of the time?
What is the weight of the heaviest brick : A very powerful vacuum cleaner has a hose 2.61 cm in diameter. With no nozzle on the hose, what is the weight of the heaviest brick that the cleaner can lift
Explain ground-state wavefunction of the harmonic oscillator : Assume the form ?=Ne^(-ax^2) for the ground-state wavefunction of the harmonic oscillator, and substitute this into the schrodinger equatoin. Find the value of a that makes this an eigenfunction.
Case study-amnesty international canada : Selected not-for-profit organization: Amnesty International Canada
Compute the interest paid during the 6th year : Consider a 10-year loan with monthly payments at 10%. If the loan amount is $250,000, compute the Interest paid during the 6th year. Enter your answer rounded off to two decimal points. Do not enter $ in the answer box.

Reviews

Write a Review

Finance Basics Questions & Answers

  Calculation of computation of projected cash flows

Calculation of Computation of projected Cash flows, NPV on Salvage Value Change & Sales (Units) Change using Graphs.

  Time value of money in making financial decisions

Kim has arranged a meeting with you and the head of manufacturing because she thinks you need to explain to him the time value of money.

  Calculate of abnormal return

Here are alphas and betas for Intel and Conagra for the 60 months ending April 2009. Alpha is expressed as percent (%) per month.

  Estimate of equity beta for frim a

If you find that equity beta is different between Frim A and its comparable firm in (a), how would you explain the difference? If you expect no difference explain why they are not different.

  What is the company breakeven point

A company's fixed operating costs are $630,000, its variable costs are $2.55 per unit, and the product's sales price is $5.85. What is the company's breakeven point; that is, at what unit sales volume will its income equal its costs? Round your an..

  Describing company analysis

Develop a fundamental analysis of the company using the analytical tools such as the Dupont Framework. For my purposes I am comparing Sprint and Verizon.

  Calculate the initial outlay

A company is thinking replacing a machine. The machine was purchased six years ago for $80,000 and has been depreciating over an eight year life. The old machine will be sold for a market value of $14,500.

  What is the standard deviation of the stocks returns

You find a certain stock that had returns of 14 percent, -27 percent, 19 percent, and 21 percent for four of the last five years, respectively. The average return of the stock over this period was 9.5 percent. What is the standard deviation of the..

  What interest rate is the bank required by law

What interest rate is the bank required by law to report to potential borrowers?

  Explain the significance of statement

An organization that does not invest in its employees may be less attractive to prospective employees and may have a more difficult time retaining current employees"

  What is component cost of debt for use in wacc calculation

The bond currently sells for $950, and the company's tax rate is 40%. What is the component cost of debt for use in the WACC calculation?

  What is the monthly return on this investment vehicle

Live Forever Life Insurance Co. is selling a perpetuity contract that pays $1,400 monthly. The contract currently sells for $113,000.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd