CFA Practice Question

There are 410 practice questions for this study session.

CFA Practice Question

The coefficient of variation is useful when:

I. the frequency distribution contains open-ended classes or overlapping classes.
II. the data sets being compared contain data in different measurement units.
III. the data sets being compared contain data with similar measurement units.
A. III only
B. II only
C. I & II
Explanation: The coefficient of variation is useful when the means of the data sets differ widely or when the observations are in different measurement units.

User Contributed Comments 1

User Comment
UcheSam It permits direct comparisons of dispersion across different data sets and it is scale-free.
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