The Coefficient of Variation Is a Better Measure of Risk

question 35

True/False

The coefficient of variation is a better measure of risk than the standard deviation if the expected returns of the securities being compared differ significantly.

---

Definitions:

Morphological Phylogeny

The study of the evolutionary relationships among species based on their physical characteristics and structural features.

Marsupials

Mammals characterized by giving birth to partially developed offspring that complete their development in an external pouch.

Greenhouse Effect

A natural process where certain gases in Earth's atmosphere trap heat, keeping the planet warmer than it would be otherwise.

Solar Radiation

The electromagnetic energy emitted by the sun, including visible light, ultraviolet light, and infrared energy, which is a key driver of Earth's climate and ecosystem.