The Average Month End Closing Stock Price for Company a Over

question 32

True/False

The average month end closing stock price for Company A over the past year is $34.57 with a standard deviation of $4.65. The average month end closing stock price for Company B over the same period is $26.15 with a standard deviation of $7.45. Based on this data, we can conclude that the stock price for Company A is more consistent when compared to the stock price for Company B.

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Definitions:

Short-Term Financing

Funding obtained for a period of one year or less, used to cover immediate needs such as working capital requirements.

Minimum Denomination

The smallest unit of value in which a security or financial instrument can be issued or traded.

Net Worth

The difference between an individual or household’s assets and liabilities.

Revenue Bond

A type of bond issued by municipalities or government entities, backed by specific revenue sources rather than the issuer's full faith and credit.