O'Reilly logo

Excel 2010 Financials Cookbook by Andre Odnoha

Stay ahead with the world's most comprehensive technology and business learning platform.

With Safari, you learn the way you learn best. Get unlimited access to videos, live online training, learning paths, books, tutorials, and more.

Start Free Trial

No credit card required

Determining standard deviation for assessing risk

In the recipes mentioned so far, we have shown the importance of monitoring and analyzing frequency to determine the likelihood that an event will occur. Standard deviation will now allow for an analysis of the frequency in a different manner, or more specifically, through variance. With standard deviation, we will be able to determine the basic top and bottom thresholds of data, and plot general movement within that threshold to determine the variance within the data range. This variance will allow the calculation of risk within investments.

As a financial manager, you must determine the risk associated with investing capital in order to gain a return. In this particular instance, you will invest ...

With Safari, you learn the way you learn best. Get unlimited access to videos, live online training, learning paths, books, interactive tutorials, and more.

Start Free Trial

No credit card required