What is the variance of the following returns?
A) 0.0523
B) 0.0673
C) 0.0835
D) 0.1324
E) 0.4156

Name: What is the variance of the following returns? A) 0.0523 B) 0.0673 C) 0.0835 D) 0.1324 E) 0.4156
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Question

What is the variance of the following returns? 
A) 0.0523 
B) 0.0673 
C) 0.0835 
D) 0.1324 
E) 0.4156

Quizplus · Accepted Answer

The variance can be calculated by using the formula: variance = sum of (each return - average return)^2 / number of returns. By plugging in the given returns and using a calculator, we get the variance to be 0.0673. Therefore, the correct answer is choice B.

What Is the Variance of the Following Returns