Asked by Savannah Pless on Jun 05, 2024
Verified
The 99% probability range is equal to the mean plus or minus three times the variance.
Variance
A statistical measure that captures the dispersion of a set of data points around their mean, indicating how spread out the data is.
Probability Range
A span of values within which a random variable is expected to fall, governing the likelihood of different outcomes.
- Comprehend the statistical measures used in finance, like mean, variance, and standard deviation.
Verified Answer
AH
Aseel HasheshJun 11, 2024
Final Answer :
False
Explanation :
The 99% probability range is typically associated with the mean plus or minus three times the standard deviation, not the variance. Variance is the square of the standard deviation.
Learning Objectives
- Comprehend the statistical measures used in finance, like mean, variance, and standard deviation.
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