Answered: The standard deviation measures the…

The standard deviation measures the _____ of a security's returns over time. Multiple Choice average value frequency volatility mean arithmetic average

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter8: Analysis Of Risk And Return

Section: Chapter Questions

Problem 5QTD

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Question

The standard deviation measures the _____ of a security's returns over time.

Multiple Choice

average value
frequency
volatility
mean
arithmetic average

Expert Solution

Step 1

Return refers to the exceeding value above the invested value which available for investor over investment tenure. It is determined as proportion of invested value which can also be negative in case invested value declines. It is an income for the investor.

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