Question
Five investment alternatives have the following returns and standard deviations of returns. Alternatives Returns: Expected Value Standard Deviation A $ 1,400 $ 820 B 890
Five investment alternatives have the following returns and standard deviations of returns.
| Alternatives | Returns: Expected Value | Standard Deviation | ||||
| A | $ 1,400 | $ 820 | ||||
| B | 890 | 1,520 | ||||
| C | 13,900 | 5,500 | ||||
| D | 1,380 | 680 | ||||
| E | 65,300 | 16,500 | ||||
| Calculate the coefficient of variation and rank 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)ECDAB | |
| B | (Click to select)ECDAB | |
| C | (Click to select)ECDAB | |
| D | (Click to select)ECDAB | |
| E | (Click to select)ECDAB |
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Financial Management Principles And Applications
Authors: Sheridan Titman, John Martin
14th Global Edition
1292349824, 978-1292349824
