THE NEXT QUESTIONS ARE BASED ON THE FOLLOWING INFORMATION:
A recent survey asked respondents about their monthly purchases of raffle tickets.The monthly expenditures,in dollars,of ten people who play the raffle are 23,15,11,20,28,35,13,10,20,and 24.
-Over the past 10 years,the return on Stock A has averaged 8.4% with a standard deviation of 2.1%.The return on Stock B has averaged 3.6% with a standard deviation of 0.9%.Which of the following statements is true?
A)Stock A has smaller relative variation than Stock B.
B)Stock B has smaller relative variation than Stock A.
C)Both stocks exhibit the same relative variation.
D)Unable to tell with the given information.

Question

Quizplus · Accepted Answer

The Answer of THE NEXT QUESTIONS ARE BASED ON THE FOLLOWING INFORMATION:
A recent survey asked respondents about their monthly purchases of raffle tickets.The monthly expenditures,in dollars,of ten people who play the raffle are 23,15,11,20,28,35,13,10,20,and 24.
-Over the past 10 years,the return on Stock A has averaged 8.4% with a standard deviation of 2.1%.The return on Stock B has averaged 3.6% with a standard deviation of 0.9%.Which of the following statements is true?
A)Stock A has smaller relative variation than Stock B.
B)Stock B has smaller relative variation than Stock A.
C)Both stocks exhibit the same relative variation.
D)Unable to tell with the given information.