Which of the Following Measures of Central Tendency Is the Best

question 22

Multiple Choice

Which of the following measures of central tendency is the best for nominal data?

• A) Mean
• B) Median
• C) Mode
• D) Standard deviation
• E) Variance

---

Definitions:

Home Bias

The tendency for investors to prefer investing in domestic over foreign markets, often leading to a lack of diversification in their portfolios.

Overweight Investments

An investment strategy where an investor or portfolio holds a larger percentage of a particular security or sector than the benchmark.

Preferential Treatment

Special privileges or advantages granted to certain investors or stakeholders, often resulting in more favorable financial conditions.

Equity Market Share

A measure of a company's size relative to the industry or market sector in terms of its share of total equity investments.