Practice free →
Home › TS EAPCET (Engineering) › Mathematics › Statistical Dispersion › Stock A averaged 10% return with SD 20 points; s…

Stock A averaged 10% return with SD 20 points; stock B averaged 12% with SD 30 points. Which carries less risk?

ABoth the same
BStock A alone
CCannot be told
DStock B alone
Answer & Solution
Correct answer: B. Stock A alone
A lower standard deviation of returns means less price fluctuation, so stock A is the safer choice.
Solve this in the app — TS EAPCET (Engineering) practice & 24k+ MCQs →
Related questions