Question
Suppose in the last month we have weekly returns for two stocks, they are as follows: Stock Week 1 Week 2 Week 3 Week 4
Suppose in the last month we have weekly returns for two stocks, they are as follows: Stock Week 1 Week 2 Week 3 Week 4 McDonalds 5% 4.0% -3.5% 1.8% Burger King 3.5% 2.1% -2.6% 3.1%
What is the standard deviation of McDonalds returns?
A. 4.1%
B. 0.08%
C. 3.29%
D. 0.224%
What is the standard deviation of Burger Kings returns?
A. 0.056%
B. 5.6%
C. 2.36%
D. 2.44%
What is the coefficient of variation of McDonalds returns? A. 0.45 B. 1.80 C. 6.19 D. 2.23
CV = Standard deviation/Expected return
What is the coefficient of variation of Burger Kings returns? A. 3.33 B. 0.30 C. 1.60 D. 1.34
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