Hello,
If the mean is given (i.e 7.52), could you still use a DATA function to get the SD or need to calculate it manually just like to answer?
Questions:
Tony, an analyst with a research firm, calculated the expected value of Deal King’s EPS as 7.52 based on its probability distribution for the year 20X6. Probability distribution for Deal King’s EPS: Probability 0.15 0.55 0.23 0.07 EPS () 9.25 8.50 7.50 5.75 The standard deviation of the Deal King’s EPS for the year 20X6 is closest to: A. 1.1965.
answer:
σ2 = ∑n i=1(Prob.) x [X -E(X)]2
σ2 = (0.15) x (9.25 - 7.52)2 + (0.55) x (8.50 - 7.52)2 + (0.23) x (7.50 - 7.52)2 + (0.07) x (5.75 - 7.52)2 = 1.0938
thanks