An Investor Is Risk Neutral If She Chooses the Asset

question 69

True/False

An investor is risk neutral if she chooses the asset with lower risk given a choice of several assets with equal returns.

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Definitions:

Volume

The quantity of three-dimensional space occupied by a substance or item.

°C

A unit of temperature on the Celsius scale, a temperature scale originally known as the centigrade scale, with 0°C denoting the freezing point of water and 100°C its boiling point at sea level.

Atm

A unit of pressure defined as being equal to the pressure exerted by the Earth's atmosphere at sea level; approximately 101.325 kPa.

Volume

The amount of space that a substance or object occupies, or that is enclosed within a container.