If the Standard Deviation of Annual Returns on the Asset

question 67

Multiple Choice

If the standard deviation of annual returns on the asset is 30% and the interval is a year, then the downside change is equal to :

• A) 26%
• B) 53.6%
• C) 33.0%
• D) 38.7%

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Definitions:

Great Recession

A significant global economic downturn that began in 2007 and lasted until 2009, marked by widespread financial crises, bank failures, and high unemployment rates.

Deficit

The amount by which a government's, company's, or individual's spending exceeds its income over a particular period of time.

2009

A year that marked the end of the late-2000s financial crisis and the beginning of economic recovery for many countries.

Productivity Growth

An increase in the efficiency of production, often measured as the rate at which an economy can produce goods and services relative to inputs over time.