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# Stock 1's closing price over the last month has a mean of 31.2 and a standard deviation of 1. Stock 2's closing price over the last month has a mean...

Stock 1's closing price over the last month has a mean of 31.2 and a standard deviation of 1.9. Stock 2's closing price over the last month has a mean of 59.2 and a standard deviation of 3.3.

Which has the higher coefficient of variation?
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Stock 1.
Stock 2.
The coefficients of variation are the same.
The answer cannot be determined from the data provided

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#### Top Answer

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The coefficient of variation (CV) is defined as the ratio of the standard deviation to the mean : CV for stock 1 is = 1.9/31 = 0.0612
CV for stock2 is = 3.3/59.2
=0.0557
Hence Stock1 has higher...

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