Author Question: Utility theory is the study of the __________________ or relative desirability of a particular ... (Read 114 times)

cabate

  • Hero Member
  • *****
  • Posts: 537
Utility theory is the study of the __________________ or relative desirability of a particular outcome that reflects the decision maker's attitude toward a collection of factors, such as profit, loss, and risk.
 a. total worth
 
  b. total cost
 
  c. feasibility
 
  d. financial wellness

Question 2

Optimization models can be used to
 a. assess the risk of investment portfolios.
  b. forecast future financial performance.
  c. successfully manage commercial real estate risk.
  d. decide on how to invest cash received from insurance policies.



Dinolord

  • Sr. Member
  • ****
  • Posts: 313
Answer to Question 1

a
RATIONALE: Utility theory is the study of the total worth or relative desirability of a particular outcome that reflects the decision maker's attitude toward a collection of factors, such as profit, loss, and risk.

Answer to Question 2

d
RATIONALE: GE Asset Management uses optimization models to decide how to invest its own cash received from insurance policies and other financial products.



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

The newest statin drug, rosuvastatin, has been called a superstatin because it appears to reduce LDL cholesterol to a greater degree than the other approved statin drugs.

Did you know?

In 1835 it was discovered that a disease of silkworms known as muscardine could be transferred from one silkworm to another, and was caused by a fungus.

Did you know?

The top 10 most important tips that will help you grow old gracefully include (1) quit smoking, (2) keep your weight down, (3) take supplements, (4) skip a meal each day or fast 1 day per week, (5) get a pet, (6) get medical help for chronic pain, (7) walk regularly, (8) reduce arguments, (9) put live plants in your living space, and (10) do some weight training.

Did you know?

About 3% of all pregnant women will give birth to twins, which is an increase in rate of nearly 60% since the early 1980s.

Did you know?

Certain rare plants containing cyanide include apricot pits and a type of potato called cassava. Fortunately, only chronic or massive ingestion of any of these plants can lead to serious poisoning.

For a complete list of videos, visit our video library