The Standard Deviations (In Thousands of Dollars) for Building a Small

Multiple Choice

The standard deviations (in thousands of dollars) for building a small and large complex are 535 and 976, respectively. Based on the resulting coefficients of variation (CV) , which of the following statements would be true?

A) The CV of building a large complex is less than that of building a small complex.
B) The CV of building a small complex is less than that of building a large complex.
C) The risk averse action would be to build a large complex.
D) The CV of building a large complex is less than that of building a small complex and the risk averse action would be to build a large complex.
E) The CV of building a small complex is less than that of building a large complex and the risk averse action would be to build a large complex.