Multiple Choice
What is the standard deviation of the payoff from an investment that yields $1,000,000 with a probability of 0.001 and $0 with a probability of 0.999?
A) $998,001,000
B) $999,000
C) $316.07
D) $31,606.96
Correct Answer:
Verified
Correct Answer:
Verified
Related Questions
Q36: Assume Brandon's benefit function for water is
Q37: A person is risk averse if:<br>A) his
Q38: Suppose Lily's indifference curves are defined as
Q39: If an insurance policy is actuarially fair,then:<br>A)
Q40: Suppose a consumer's expected utility function given
Q42: Suppose Alice is deciding whether or not
Q43: A person is risk loving if:<br>A) for
Q44: Suppose Alice is deciding whether or not
Q45: If two investments are perfectly negatively correlated:<br>A)
Q46: Suppose Dean has $500 and there are