Author Question: Utility theory is the study of the __________________ or relative desirability of a particular ... (Read 146 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?

A headache when you wake up in the morning is indicative of sinusitis. Other symptoms of sinusitis can include fever, weakness, tiredness, a cough that may be more severe at night, and a runny nose or nasal congestion.

Did you know?

The first-known contraceptive was crocodile dung, used in Egypt in 2000 BC. Condoms were also reportedly used, made of animal bladders or intestines.

Did you know?

People with alcoholism are at a much greater risk of malnutrition than are other people and usually exhibit low levels of most vitamins (especially folic acid). This is because alcohol often takes the place of 50% of their daily intake of calories, with little nutritional value contained in it.

Did you know?

According to the Migraine Research Foundation, migraines are the third most prevalent illness in the world. Women are most affected (18%), followed by children of both sexes (10%), and men (6%).

Did you know?

There are approximately 3 million unintended pregnancies in the United States each year.

For a complete list of videos, visit our video library