If the Mean of a Normal Distribution Is Negative

question 59

Multiple Choice

If the mean of a normal distribution is negative,

• A)the standard deviation must also be negative
• B)the variance must also be negative
• C)a mistake has been made in the computations, because the mean of a normal distribution cannot be negative
• D)None of the alternative answers is correct.

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Definitions:

Minimizing Risk

Strategies or actions taken to reduce the probability and/or impact of harmful outcomes in decision-making or processes.

Stocks

Stocks represent shares of ownership in a company, providing investors with a claim on the company's assets and earnings, and are traded on stock exchanges.

Choose

A term often associated with selecting options or making decisions from a set of alternatives.

Risk

The potential for loss or an undesirable outcome, often assessed in the context of investments or decision-making.