The Standard Deviation of Return on Investment a Is

question 10

Multiple Choice

The standard deviation of return on investment A is .10 while the standard deviation of return on investment B is .04.If the correlation coefficient between the returns on A and B is -.50,the covariance of returns on A and B is _________.

• A) -.0447
• B) -.0020
• C) .0020
• D) .0447

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Definitions:

mRNA Molecule

A molecule of RNA that encodes a chemical blueprint for a protein product.

Nucleotide Sequence

The order of nucleotides in a DNA or RNA molecule, determining the genetic information carried by that molecule.

Information Flow

The transfer or movement of information within a system or among various systems.

Protein Synthesis

The process by which cells build proteins based on the instructions encoded in DNA, consisting of transcription and translation stages.