The co-variation between two variables is 2.7. The standard deviation of the first variable and second variable is 3.7 and 4.2 respectively. What is the correlation coefficient?
The co-variation between two variables is 2.7. The standard deviation of the first variable and second...
If the correlation coefficient between two variables is 0.5 and the standard deviation of the variables is 5 and 10, respectively, then the sample covariance is approximately ... a. 25 b. 50 c. 250 d. Impossible to determine with any level of accuracy.
Which of the following is a measurement of the co-movement between two variables that ranges between-1 and +1? Multiple Choice O Total risk Coefficient of variation O Standard deviation Correlation
Coefficient of Variation The coefficient of variation standardizes a variable's dispersion (standard deviation) relative to its mean. Imagine two variables, each with a standard deviation of 20. If Variable 1 has a mean of 100 and Variable 2 has a mean of 10, it is obvious that has more relative uncertainty. The coefficient of variation, the amount of risk per unit of the mean, is found by dividing the standard deviation by the mean, as follows: CV = Standard Deviation...
You are creating a portfolio of two stocks. The first one has a standard deviation of 21% and the second one has a standard deviation of 35%. The correlation coefficient between the returns of the two is 0.1. You will invest 40% of the portfolio in the first stock and the rest in the second stock. What will be the standard deviation of this portfolio's returns? Answer in percent, rounded to two decimal places (e.g., 4.32%=4.32).
You are creating a portfolio of two stocks. The first one has a standard deviation of 29% and the second one has a standard deviation of 39%. The correlation coefficient between the returns of the two is 0.4. You will invest 47% of the portfolio in the first stock and the rest in the second stock. What will be the standard deviation of this portfolio's returns? Answer in percent, rounded to two decimal places (e.g., 4.32%=4.32).
Given a random variable X, with standard deviation σx, and a random variable Y = a + bX, show that if b < 0, the correlation coefficient, pxy = -1, and if b > 0, pxy = 1. What is the correlation coefficient if a/b=π and a=(1+√2)/5 ?
12. The______ measures the reliability of the estimation equation. a. standard deviation b. Standard error of the estimate c. Type 1 error d. Type 11 error 13. The________ is similar to the standard deviation in that both are measures of variability. a. variance b. standard error of the estimate c. type 1 error d. type 11 error 15. The __________ is used to describe the correlation between two variables. a. coefficient of determination b. correlation coefficient c. intelligence coefficient d....
The expected value, standard deviation of returns, and coefficient of variation for asset A are ________. (See table below.) Possible Outcomes Probability Returns (%) Pessimistic 0.25 5% Most Likely 0.55 10% Optimistic 0.20 13% 10 percent, 8 percent, and 1.25, respectively 9.35 percent, 2.76 percent, and 0.295, respectively 9.35 percent, 4.68 percent, and 2.00, respectively 9.33 percent, 8 percent, and 2.15, respectively
The coefficient of variation CV describes the standard deviation as a percent of the mean. Because it has no units, you can use the coefficient of variation to compare data with different units. Find the coefficient of variation for each sample data set. What can you conclude? Standard deviation CV Mean Click the loon to view the data sets. 0 Data Table - 100% Creights - % (Round to the nearest tenth as needed.) Heights Weights Print Done
EXTRA RISK PROBLEMS Stock A Stock B Expected Return 10% 1 Standard Deviation Beta Correlation coefficient with the Market Correlation coefficient with Stock B Risk free rate 25% Expected return on the Market 12% Standard deviation of the Market 18 1. What is the expected return on a portfolio comprised of $6000 of Stock A and S4000 of Stock B? 2. What is the Standard deviation of this portfolio? 3. Does it make sense to combine these two in this...