What Is the Relationship Between the Variance and the Standard

question 72

Multiple Choice

What is the relationship between the variance and the standard deviation?

• A) they are completely unrelated
• B) they are usually correlated to a modest degree
• C) one can be computed from the other
• D) one is the inverse of the other

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Definitions:

Available-for-Sale Investments

These are securities that are not classified as held-to-maturity or trading securities, and can be sold in the future.

Common Stock

Equity ownership in a corporation, providing voting rights and a share in the company’s profits through dividends.

Held-to-Maturity Bonds

Bonds that an issuer has the intent and ability to hold until a defined maturity date.