Which of the Following Statements Is False

question 55

Multiple Choice

Which of the following statements is false?

• A) The variance increases with the magnitude of the deviations from the mean.
• B) The variance is the expected squared deviation from the mean.
• C) Two common measures of the risk of a probability distribution are its variance and standard deviation.
• D) If the return is riskless and never deviates from its mean, the variance is equal to one.