Question

The lower the average processing time for a service process with a standard deviation of two minutes, the ______ the coefficient of variation.

A. Higher
B. Lower
C. Equal
D. Unrelated to

Answer 1

The coefficient of variation increases when the average processing time decreases while the standard deviation remains constant; hence the correct answer is A. Higher.

Step-by-step explanation:

The coefficient of variation (CV) is a statistical measure of the dispersion of data points in a data set around the mean. It is defined as the ratio of the standard deviation to the mean (CV = σ / μ). When the average processing time, or mean (μ), decreases while the standard deviation (σ) remains constant, the CV increases because the standard deviation becomes a larger proportion of the mean. Conversely, if the average processing time is lowered and the standard deviation remains the same, the coefficient of variation becomes higher. Therefore, the correct answer is: A. Higher.