If the Expected Return of Stock a Is 12% and That

question 33

True/False

If the expected return of stock A is 12% and that of stock B is 14% and both have the same variance, then investors would prefer stock B to stock A.

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Definitions:

Spruce Trees

Coniferous trees belonging to the genus Picea, known for their needle-like leaves and woody cones.

Moose

A large mammal of the deer family, known for its massive antlers in males, native to northern forests of North America, Europe, and Russia.

Energy Of The Sun

The radiant energy produced by the Sun, a result of nuclear fusion processes, providing light and heat essential for life on Earth.

Poles

The two opposite ends of the Earth's axis, known as the North Pole and South Pole, characterized by extreme weather conditions and unique ecosystems.