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Florida Company (FC)and Minnesota Company (MC)are Both Service Companies

Question 78

Multiple Choice

Florida Company (FC) and Minnesota Company (MC) are both service companies.Their stock returns for the past three years were: FC: -5%,15%,20%; MC: 8%,8%,20%.
Calculate the standard deviations of returns for FC and MC.


A) FC: 10.0% MC: 12.0%
B) FC: 18.7% MC: 9.8%
C) FC: 13.2% MC: 6.9%
D) FC: 6.9% MC: 13.2%

Correct Answer:

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