请老师帮忙解答一下

问题如下：

An analyst stated that normal distributions are suitable for describing asset returns and that lognormal distributions are suitable for describing distributions of asset prices. The analyst’s statement is correct in regard to:

选项：

both normal distributions and lognormal distributions.

normal distributions, but incorrect in regard to lognormal distributions.

lognormal distributions, but incorrect in regard to normal distributions

解释：

A is correct.

A normal distribution is suitable for describing asset returns. However, the normal distribution is not suitable for asset prices because asset prices cannot be negative. The lognormal distribution is bounded by zero (skewed to the right) and is suitable for describing distributions of asset prices.