Percent probability range


Problem:

A stock has returns of 8 percent, 12 percent, -22 percent, and 18 percent for the past 4 years. Based on this information, what is the 95 percent probability range for any one given year?

A. 31.6 to 21.8 percent

B. 31.6 to 39.6 percent

C. 67.3 to 75.3 percent

D. 13.8 to 21.8 percent

E. 15.8 to 19.8 percent

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Finance Basics: Percent probability range
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