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Which of the following statements about the standard deviation are correct? I. The standard deviation is a measure of relative dispersion. II. Standard deviations should

Which of the following statements about the standard deviation are correct?

I. The standard deviation is a measure of relative dispersion.
II. Standard deviations should be in conjunction with expected returns to compare investments.
III. The standard deviation is calculated by taking the square root of the variance.
IV. The higher the standard deviation of an investment, the lower its risk.

Select one:

A.

I, III and IV only

B.

II and III only

C.

I, II and III only

D.

I and IV only

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