Standard deviation versus coefficient of variation as measures of risk Greengage, Inc., a successful nursery, is considering several expansion projects. All of the alternatives promise to produce an acceptable return. Data on four possible projects appear in the following table: EE a. Which project is least risky, judging on the basis of range? b. Which project has the lowest standard deviation? Explain why standard deviation may not be an entirely appropriate measure of risk for purposes of this comparison. c. Calculate the coefficient of variation for each project. Which project do you think Greengage's owners should choose? Data Table (Click on the icon located on the top-right corner of the data table below in order to copy its contents into a spreadsheet.) Expected return 13.1% 12.2% 11.5% 12.4% Range 4.9% 3.9% 5.6% 6.1% Standard deviation 27% 3.9% 3.4% 3.2% Project