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A $500 Investment Has the Following Payoff Frequency: Half of the Time

Question 52

Multiple Choice

A $500 investment has the following payoff frequency: half of the time it will pay $350 and the other half of the time it will pay $900. Its standard deviation and value at risk respectively are:


A) $275; $150
B) $625; $275
C) $275; $350
D) $125; $500

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