PRMIA Exam 8002 Topic 3 Question 72 Discussion

Which of the following statements about variance and standard deviation are correct?

1. When calculated based on a sample of the population data, one has to correct for any bias in the result by using the number of degrees of freedom in the calculation

2. Variance is in square root units of the underlying data, whereas standard deviation is in units of the underlying data

3. When considering independent variables, variance is additive, while standard deviation is not