Donna is looking into investing a portion of her recent bonus into the stock market. While researching different companies, she discovers the following standard deviations of one year of daily stock closing prices. El Lobo Malo Incorporated: Standard deviation of stock prices = $1.17 The Azure Travel Company: Standard deviation of stock prices = $9.73 Based on the data and assuming these trends continue, which company would give Donna a stable long-term investment?

MATLAB: An Introduction with Applications
6th Edition
ISBN:9781119256830
Author:Amos Gilat
Publisher:Amos Gilat
Chapter1: Starting With Matlab
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The Azure Travel Company; the larger standard deviation indicates that The Azure Travel Company has less variability in its closing prices than El
O
Lobo Malo Incorporated.
O
The Azure Travel Company; the larger standard deviation Indicates that The Azure Travel Company has a greater mean closing price than El Lobo
Malo Incorporated.
O
El Lobo Malo Incorporated; the smaller standard deviation indicates that El Lobo Malo Incorporated has a greater mean closing price than The
Azure Travel Company.
El Lobo Malo Incorporated; the smaller standard deviation Indicates that El Lobo Malo Incorporated has less variability in its closing prices than The
O
Azure Travel Company.
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Transcribed Image Text:Prev The Azure Travel Company; the larger standard deviation indicates that The Azure Travel Company has less variability in its closing prices than El O Lobo Malo Incorporated. O The Azure Travel Company; the larger standard deviation Indicates that The Azure Travel Company has a greater mean closing price than El Lobo Malo Incorporated. O El Lobo Malo Incorporated; the smaller standard deviation indicates that El Lobo Malo Incorporated has a greater mean closing price than The Azure Travel Company. El Lobo Malo Incorporated; the smaller standard deviation Indicates that El Lobo Malo Incorporated has less variability in its closing prices than The O Azure Travel Company. > Next
Donna is looking into investing a portion of her recent bonus into the stock market. While researching different companies, she discovers the
following standard deviations of one year of daily stock closing prices.
El Lobo Malo Incorporated: Standard deviation of stock prices = $1.17
The Azure Travel Company: Standard deviation of stock prices = $9.73
Based on the data and assuming these trends continue, which company would give Donna a stable long-term investment?
Transcribed Image Text:Donna is looking into investing a portion of her recent bonus into the stock market. While researching different companies, she discovers the following standard deviations of one year of daily stock closing prices. El Lobo Malo Incorporated: Standard deviation of stock prices = $1.17 The Azure Travel Company: Standard deviation of stock prices = $9.73 Based on the data and assuming these trends continue, which company would give Donna a stable long-term investment?
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