The Variance of a Stock's Returns Can Be Calculated as The

question 74

Multiple Choice

The variance of a stock's returns can be calculated as the:

• A) average value of deviations from the mean.
• B) average value of squared deviations from the mean.
• C) square root of average value of deviations from the mean.
• D) sum of the deviations from the mean.

---

Definitions:

Income Elasticity

A measure of how the demand for a good changes in response to a change in consumers' income.

Confederate Currency

The currency issued by the Confederate States of America during the American Civil War, now considered a collectible item.

Market Price

The prevailing rate at which a good or service is available for purchase or sale in the public market.

Inelastic

A characteristic of demand or supply that signifies a limited response to changes in prices or other economic factors.