Suppose Option a Has a Higher Variance Than Option B

question 18

Multiple Choice

Suppose option A has a higher variance than option B.Which of the following statements is, in general, true?

• A)A risk neutral person is indifferent between options A and B.
• B)A risk averse person prefers option B to option A.
• C)A risk averse person prefers option A to option B.
• D)Insufficient information to determine.

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Identifying with, or being identified as part of a group that shares cultural, linguistic, or ancestral heritage.

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