Skewed distribution and normal distribution

Reference no: EM1386722

Investment A has an expected return of $25 million and standard deviation is $10 million

Investment B has an expected return of $5 million and standard deviation is $30 million

If you assume returns follow a normal distribution, which investment would give a better chance of getting at least a $40 million return? Explain how your answer could change if you knew returns followed a skewed distribution instead of a normal distribution?

Reference no: EM1386722

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