Question

A stock's average return in last 3 years were 12 and standard deviation is 8. Calculate coefficient of variation

Answer 1

Answer:

Step-by-step explanation:

Given:

S.D=8

Mean=12

Coefficient of variaation

$=(\frac{S.D}{Mean})*100\\\\=(\frac{8}{12})100$

=(0.6666)x100

=66.66

Answer 2

given,
stock's average return in last three years = mean , $\bar{x}$ = 12

standard deviation , $\sigma$ = 8

formula of coefficient of variation is given by

$\textbf{coefficient of variation}=\frac{\sigma}{\bar{x}}$

= 8/12 = 2/3 = 0.667

and coefficient of variation in % = 0.66 × 100 = 66.7 %