This topic contains a solution. Click here to go to the answer

Author Question: Investment A has an expected return of 8% with a standard deviation of 12%. Investment B has an ... (Read 59 times)

mt05945

  • Full Member
  • ***
  • Posts: 141
Investment A has an expected return of 8% with a standard deviation of 12%.  Investment B has an expected return of of 10% with a standard deviation 15%.
◦ Investment A should be preferred because of its lower risk.
◦ Investment B should be preferred because of its higher rate of return.
◦ Preference for A or B would depend on the investor's risk tolerance.
◦ Neither investment is acceptable because their standard deviations are greater than their expected rates of return.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by mt05945 on Mar 29, 2022

Talvinder.Singh

  • Full Member
  • ***
  • Posts: 169
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 56% of students answer this correctly




mt05945

  • Member
  • Posts: 141
Reply 2 on: Mar 29, 2022
Excellent


nyrave

  • Member
  • Posts: 344
Reply 3 on: Yesterday
:D TYSM

 

Did you know?

Asthma occurs in one in 11 children and in one in 12 adults. African Americans and Latinos have a higher risk for developing asthma than other groups.

Did you know?

Disorders that may affect pharmacodynamics include genetic mutations, malnutrition, thyrotoxicosis, myasthenia gravis, Parkinson's disease, and certain forms of insulin-resistant diabetes mellitus.

Did you know?

One way to reduce acid reflux is to lose two or three pounds. Most people lose weight in the belly area first when they increase exercise, meaning that heartburn can be reduced quickly by this method.

Did you know?

The B-complex vitamins and vitamin C are not stored in the body and must be replaced each day.

Did you know?

Increased intake of vitamin D has been shown to reduce fractures up to 25% in older people.

For a complete list of videos, visit our video library