Question

In: Finance

The standard deviation for a set of stock returns can be calculated as the: A. positive...

The standard deviation for a set of stock returns can be calculated as the:

A. positive square root of the average return

B. average squared difference between the actual and the average return

C. positive square root of the variance

D. variance squared  

Solutions

Expert Solution

Standard deviation is a statistic that measures the spread of a dataset compared to its mean and is calculated as the square root of the variance. The standard deviation is calculated as the square root of variance by finding each data point's deviation as compared to the mean

So option C is correct.


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