A Teacher Notices That on the Last Science Test, Some

question 122

Multiple Choice

A teacher notices that on the last science test, some students did very well, while other students performed poorly or had grades in the middle of the pack. If she wanted to measure how "spread out" all of the scores were, which descriptive statistic could she use?

• A) Median
• B) Mode
• C) Standard deviation
• D) Mean

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Definitions:

Systematic Risk

The risk inherent to the entire market or market segment, also known as non-diversifiable risk or market risk.

Market Index

A statistical measure that tracks the performance of a basket of specific stocks, representing a portion of the overall market to reflect trends or market health.

Index Model

Index Model is a statistical model used in finance to describe the relationship between the returns on an investment and the returns on a market index.

Markowitz

Refers to Harry Markowitz, an economist who developed modern portfolio theory, emphasizing the importance of diversification and the trade-off between risk and return.