Which of the Following Is True Regarding the Standard Deviation

question 16

Multiple Choice

Which of the following is true regarding the standard deviation?

• A) It indicates the degree of variation in the values in such a way as to be translatable into a normal curve.
• B) One standard deviation above and below the midpoint in a normal distribution includes approximately 68% of the area underneath the curve.
• C) + or - 1.96 standard deviations above and below the midpoint in a normal distribution includes 95% of the area underneath the curve.
• D) The standard deviation can be approximated by dividing the range of the data by 6.
• E) All of the above are correct.

Understand the concept of liquidity and its measurement.

Identify and understand the measures of asset management.

Comprehend the importance of debt measures in a financial context.

Grasp the concept of profitability and how it is measured.

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