Behavioural skills and Coefficient of variation: Difference between pages
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A measure of the variability of a distribution, expressed as a proportion of the expected value. | |||
It is calculated as: [Standard Deviation]/[Expected value]. | |||
For example, if the Standard deviation of the Net Present Value of a project = $100m, and the Expected Net Present Value = $50m, then: | |||
Coefficient of variation = $100m/$50m = 2.0. | |||
== See also == | |||
* [[Expected value]] | |||
* [[Net present value]] | |||
* [[Standard deviation]] | |||
Revision as of 14:17, 23 October 2012
A measure of the variability of a distribution, expressed as a proportion of the expected value. It is calculated as: [Standard Deviation]/[Expected value].
For example, if the Standard deviation of the Net Present Value of a project = $100m, and the Expected Net Present Value = $50m, then: Coefficient of variation = $100m/$50m = 2.0.
See also