What Is the Variance of the Following Returns

question 323

Multiple Choice

What is the variance of the following returns?

• A) 0.0523
• B) 0.0673
• C) 0.0835
• D) 0.1324
• E) 0.4156

---

Definitions:

Net Operating Income

A measure of a company's profitability from its regular, core business operations, excluding deductions of interest and taxes.

Average Operating Assets

The average value of a company's assets used in day-to-day operations over a specific period, used in calculating rates of return.

Sales

The total amount of goods or services sold by a company within a certain period of time.