Use the Information Below to Answer the Following Questions) -Based on the Average Utility, Which of the Following Is

question 18

Multiple Choice

Use the information below to answer the following questions) . Below are four options for an investment decision. $$\begin{array} { | l | l | l | l | } \hline \text { Decision/event } & \text { Rates Rise } & \text { Rates Stable } & \text { Rates Fall } \\\hline \text { Bank CD } & \mathbf { 0 . 8 0 } & 0.80 & 0.80 \\\hline \text { Bond fund } & - 0.75 & 0.86 & 1.50 \\\hline \text { Index fund } & 0.00 & 0.90 & 1.20 \\\hline \text { Growth fund } & - 0.30 & 0.70 & 1.40 \\\hline\end{array}$$
-Based on the average utility, which of the following is considered the worst decision?

• A) Bank CD
• B) Bond fund
• C) Index fund
• D) Growth fund

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Definitions:

Availability

The state of being able to be used or obtained; accessibility.

External Locus

A belief that outcomes of events are determined by external forces or fate, rather than one's own actions.

Learned Helplessness

A condition in which a person suffers from a sense of powerlessness, arising from a traumatic event or persistent failure to succeed.

School Achievement

The measure of academic performance and the attainment of educational objectives set by educational institutions for students.