Question: 1. The historical returns on a balanced portfolio have had an average return of 8% and a standard deviation of 12%. Assume that returns on this portfolio follow a normal distribution. Use the empirical rule to answer the following questions.
a. What percentage of returns were greater than 20%?
b. What percentage of returns were below - 1 6%?
2. Assume that IQ scores follow a norm al distribution with a mean of 100 and a standard deviation of 16. Use the empirical rule to answer the following questions.
a. What percentage of people score between 84 and 116?
b. What percentage of people score less than 68?