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Get access to the detailed solutions to the previous years questions asked in IIM IPMAT exam
Writing down the values given in the candlestick chart in the form of a table for ease of calculation,
We are given that, Daily Share Price Variability (SPV) is defined as (Day’s high price - Day’s low price)/(Average of the opening and closing prices during the day)
Calculating it for the four options,
Stock F: 800/1700 = 8/17
Stock A: 1200/2000 = 3/5
Stock D: 900/750 = 90/75 = 6/5
Stock C: 600/1000 = 3/5
Clearly Stock D has the highest SPV.