The coefficient of variation is a measure of
A) central tendency.
B) absolute variability.
C) absolute dispersion.
D) relative variability.
E) relative return.

Question

Quizplus · Accepted Answer

The coefficient of variation is a statistic that measures the relative variability or dispersion of a distribution or data set. It is calculated as the ratio of the standard deviation to the mean, expressed as a percentage. This makes it a useful tool for comparing the variability of different data sets, particularly when they have different units of measurement or scales. Choice D, relative variability, best describes what the coefficient of variation measures.

The Coefficient of Variation Is a Measure of