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The Mean Return on Equity (ROE)for a Group of Firms

Question 10

Multiple Choice

The mean return on equity (ROE) for a group of firms in an industry is 15 percent with a variance of 9 percent.The coefficient of variation of the industry's ROE is:


A) 0.2
B) 0.6
C) 1.7
D) 5.0

Correct Answer:

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