Which Type of Business Is Most Likely to Be Launched

question 37

Multiple Choice

Which type of business is most likely to be launched on the strength of a feasibility analysis alone?

• A)Baked goods business ​
• B)Technology business
• C)Internet-related business
• D)Clothing business
• E)Investment business

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Definitions:

T-Bill

Short for Treasury Bill, this is a short-term government security issued at a discount from par value and pays no interest.

Risk Tolerance

The degree of variability in investment returns that an investor is willing to withstand, related to one's financial situation, investment objectives, and psychological comfort.

Risky Asset

An asset that carries a significant degree of risk of losing value, but also offers a potential for higher returns compared to safer investments.

Risk-Free Asset

An asset which is assumed to provide a guaranteed return with negligible risk of financial loss, often considered to be short-term government securities.