Statements about the standard deviation

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Which of the following statements about the standard deviation are correct?

I. The standard deviation is a measure of relative dispersion.

II. Standarddeviationsshouldbeinconjunctionwithexpectedreturnstocompareinvestments. III. The standard deviation is calculated by taking the square root of the variance.

IV. The higher the standard deviation of an investment, the lower its risk.

A) I and IV only

B) II and III only

C) I, III and IV only

D) I, II and III only

Which one of the following indexes reflects a large sample of small, medium sized and large companies?

A) NYSE composite

B) DJIA

C) Russell 3000

D) Value Line composite

Reference no: EM131317134

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