A sample of customers from Barnsboro National Bank shows an average account balance of $315 with a standard deviation of $87.A sample of customers from Wellington Savings and Loan shows an average account balance of $8350 with a standard deviation of $1800.Which statement about account balances is correct?
A)Barnsboro Bank has more variation.
B)Wellington S&L has more variation.
C)Both have the same variation.

Question

Quizplus · Accepted Answer

The coefficient of variation (CV) is used to compare the relative variability between two datasets. For Barnsboro, CV = (87/315) * 100 ≈ 27.62%. For Wellington, CV = (1800/8350) * 100 ≈ 21.56%. Barnsboro Bank has a higher CV, indicating more relative variation.

A Sample of Customers from Barnsboro National Bank Shows an Average