Explain a standard deviation and investment


Solve the following problem:

Q: John is investing in the S&P 500. His expected return on the S&P 500 is 10% with a standard deviation of 4%. If John is investing $200,000, then what is the dollar range of returns that John can have with 90 percent confidence at the end of the year?

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Basic Statistics: Explain a standard deviation and investment
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