Which of the Following Is NOT an Element of Investors

question 12

Multiple Choice

Which of the following is NOT an element of investors' preferences that influences a firm's financial architecture?

• A)preferences for work vs.leisure
• B)liquidity needs
• C)investment horizon
• D)risk tolerance

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Definitions:

Guilt

An emotional response that occurs when an individual believes they have violated a moral standard or caused harm.

Love

A complex set of emotions and attitudes associated with strong affection, warmth, and deep regard for another person or entity.

Anticipatory Emotions

Emotions felt in the lead-up to an upcoming event, which can affect the choices one makes and their actions.

Motivate

To provide someone with a reason or incentive to do something, encouraging action or behavior.