#8. Problem 8 on page 63: Explain the usefulness of the coefficient of variation.
Coefficient of variation or COV is a measure of dispersion. It is numerically measured as the ratio of standard deviation to the mean. It is in relative terms hence it calculates relative risk. Higher the CV, higher is the dispersion about the mean. It is unit less which implies that it can compare different distributions whose scale of measures are different. It is useful in measuring fluctuations in the prices of stocks and securities in the market.
#8. Problem 8 on page 63: Explain the usefulness of the coefficient of variation.
#7. Problem 6 on page 63: Explain the importance of the standard deviation in interpreting and drawing conclusions about financial or business risk?
Problem 4 on page 63: a) Explain the difference between the mean, median, and mode. b) In what situations might one be more useful than the others?
what is the usefulness of Lorenz coefficient?
QUESTION 8 1 points Solve the problem. Find the coefficient of variation for the following sample of the normal monthly precipitation (in inches) for twelve cities. 5 16243.74.139 0 3.64.2 343.722 33.8% 。29.6% 。28.2% 322% QUESTION9 Find the range for the given sample data. are listed below 1 points s store measured the diameters of the rolls of wire in the inventory. The diameters of the rolls (in m) 0.183 0.118 047 0.389 0.599 0.237 0054 0.118 0.481 047 1...
QUESTION 9 Solve the problem. The coefficient of variation, expressed as a percent, is used to describe the standard deviation relative to the mean. It allows us to compare variability of data sets with different measurement units and is calculated as follows: coefficient of variation- 100 (s/x Find the coefficient of variation for the following sample of weights (in pounds): 152 120 186 105 197 128 172 160 116 125 23.9% 19.1% 21.8% o 26.8% QUESTION 10 Solve the problem....
8. Which of the following is not used to determine stand-alone risk? A. Coefficient of variation (CV) B. Standard deviation C. Historical data D. Capital asset pricing model (CAPM)
JUDUIT to the problem 1. Page 231 Questions and Problem 1 & Page 232 problems 11 and 12. 2. A Common stock of General Motors closed at $38.16 today 11/07/19 The company paid 50.40 last quarter and the growth rate is expected to be 5.5%. a. What will be the investor's price assuming she has a required rate of 9.5%? b. What would be the yield the yield on the investment based on an annual (4x$0.40) dividend? C. Would she...
True or False: The correlation coefficient is the ratio of explained variation to total variation.
Explain the usefulness of the Caspase Colorimetric enzyme assays.
Find the (a) expected return, (b) standard deviation and (c) coefficient of variation for these investments A and B. RA Prob. 20% 0.40 10% 0.3 -2% 0.30 A's expected return, standard deviation, and coefficient of variation are: 7%, 12.6%, 1.87 O 8%, 12.5%, 1.56 8%,1.6%, 0.2