What Is the Approximate Standard Deviation of Returns for a One-Year

question 124

Multiple Choice

What is the approximate standard deviation of returns for a one-year project that is equally likely to return 100 percent as it is to provide a 100 percent loss?

• A)0 percent
• B)50 percent
• C)71 percent
• D)100 percent Mean = (.5 x 100%) + (.5 x-100)
• = 50-50
• = 0%
• Variance =

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