Which of the following statements is most correct?
A)The probability of an event occurring is the percentage of a given outcome.
B)A continuous probability distribution shows all possible outcomes and associated probabilities for a given event.
C)The standard deviation measures the dispersion around the expected value.
D)The coefficient of variation is a measure of relative dispersion used in comparing the risk of assets with differing expected returns.
E)all of the above

Question

Quizplus · Accepted Answer

A) The definition of probability is the likelihood or chance of an event occurring, typically expressed as a percentage or decimal. 
B) A continuous probability distribution is a mathematical function that describes the probabilities of a continuous random variable. It provides the probability density function that gives us the probability of each possible outcome. 
C) Standard deviation is a measure of the amount of variability or dispersion of a set of values from their mean or expected value. 
D) The coefficient of variation is used to compare the risk of assets with differing expected returns. It is calculated by dividing the standard deviation by the mean or expected value. Therefore, all of the above statements are correct.

Which of the Following Statements Is Most Correct