Which of the Following Investments Would a Risk-Averse Investor Prefer

question 99

Multiple Choice

Which of the following investments would a risk-averse investor prefer if the risk-free rate is zero?

• A)I only
• B)II only
• C)III only
• D)I and III only

---

Definitions:

Discretionary Responsibility

The expectation for companies or individuals to make ethical decisions and contribute to societal well-being, beyond their economic and legal obligations.

Ethical Responsibility

The obligation to act in a manner that is morally correct, considering the welfare and rights of others and the larger community.

Ethical Behaviour

Acting in ways consistent with what society and individuals typically think are good values.

Ethical Standards

Codes of practice and morality that guide the behavior and decision-making of individuals and organizations.