Which of the Following Does Not Describe Risk Aversion

question 145

Multiple Choice

Which of the following does not describe risk aversion?

• A)Investors prefer lower risk when returns are equal.
• B)Investors expect higher returns when risk increases.
• C)Investors try to avoid risk at all costs.
• D)All of the above describe risk aversion.
• E)None of the above describes risk aversion.

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Definitions:

Politicking

The act of engaging in political maneuvering or strategy, often within an organization, to gain advantage or influence.

Competitive Organizations

Entities that strive to outperform others in their industry in terms of sales, product quality, customer service, etc.

Complex

Composed of many interconnected parts, resulting in a system or entity that is complicated and difficult to understand in full detail.

Playing Field

A metaphor for the environment or situation in which a set of activities, especially competitive ones, take place, emphasizing on equal opportunities and fairness.