Question
21) Five investment alternatives have the following returns and standard deviations of returns. Alternatives Returns: Expected Value Standard Deviation A $1,820 $550 B 860 1,030
21)
| Five investment alternatives have the following returns and standard deviations of returns. |
| Alternatives | Returns: Expected Value | Standard Deviation | ||||
| A | $1,820 | $550 | ||||
| B | 860 | 1,030 | ||||
| C | 5,900 | 1,200 | ||||
| D | 1,980 | 540 | ||||
| E | 61,000 | 22,100 |
| Calculate the coefficient of variation andrank the five alternatives from lowest risk to the highest risk by using the coefficient of variation.(Round your answers to 3 decimal places.) |
| Alternatives | Coefficient of Variation | Rank |
| A | (Click to select)CDAEB | |
| B | (Click to select)CDAEB | |
| C | (Click to select)CDAEB | |
| D | (Click to select)CDAEB | |
| E | (Click to select)CDAEB | |
|
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Fundamental Accounting Principles
Authors: John Wild, Ken Shaw, Barbara Chiappett
23rd edition
1259536351, 978-1259536359
