Bae Inc.is considering an investment that has an expected return of 24% and a standard deviation of 10%.What is the investment's coefficient of variation? Do not round your intermediate calculations.Round the final answer to 2 decimal places.
A) 0.42
B) 0.49
C) 0.52
D) 0.50
E) 0.46

Question

Quizplus · Accepted Answer

The coefficient of variation is calculated by dividing the standard deviation by the expected return. In this case, the coefficient of variation is 10% / 24% = 0.42.

Bae Incis Considering an Investment That Has an Expected Return of of 24