单选题

Which of the following is the least likely characteristic of the normal probability distribution? The normal probability distribution:

A、 has kurtosis of 3.0.
B、 has the same value for mean, median, and mode.
C、 is more suitable as a model for asset prices than for returns.

【正确答案】 C

【答案解析】

A normal distribution is less suitable as a model for asset prices than as a model for returns. The reason is that an asset price has a lower limit that corresponds to zero (it becomes worthless) and cannot be negative, whereas a normal distribution has no lower limit. Asset returns, on the other hand, can be negative.