2.2.5 Coefficient of Variation Flashcards
(2 cards)
1
Q
what is the coefficient of variation conceputally?
A
it is the ratio of the standard deviation to the mean
CV[X] = SD[X]/E[X]
2
Q
what does the CV measure?
A
it measures the variability of a random varialbe realtive to its mean. This allows us to copare the variable of multiple random variables with vastly different means
