Which of the Following Statements About Risk Is Correct

question 18

Multiple Choice

Which of the following statements about risk is correct?

• A)The higher the risk,the higher the expected return.
• B)The higher the risk,the lower the return.
• C)The lower the risk,the greater the maturity value of the investment.
• D)The higher the risk,the lower the maturity value of the investment.
• E)The higher the risk,the lower the risk-free rate.

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Definitions:

Clutter

The accumulation of a large number of unnecessary or irrelevant items in a space, leading to a disorderly or overcrowded environment.

Technology

The application of scientific knowledge for practical purposes, especially in industry, to invent tools, devices, and systems enhancing human life.

Evoked Set

The group of brands or products a consumer considers acceptable from among all the brands or products he or she is aware of in a particular category.

Analyzed Set

A collection of data or objects that have been examined and scrutinized to derive conclusions or insights.