What Is the Standard Deviation of the Returns on This

question 35

Multiple Choice

What is the standard deviation of the returns on this stock?

• A)3.33 percent
• B)4.62 percent
• C)5.01 percent
• D)5.77 percent
• E)6.06 percent

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Definitions:

Dividends

Payments made to shareholders out of a company's earnings, distributing a portion of the profit to investors as a return on their investment.

Net Income

The company's residual earnings post all expenditures and tax deductions from the gross revenue.

External Transaction

A financial or non-financial exchange between the business and an external party, impacting the financial statements.

Accounting Equation

The foundational principle of double-entry bookkeeping that states assets equal liabilities plus equity.