Identify the Risk and the Return in Each of the Following

question 11

Essay

Identify the risk and the return in each of the following examples.
a. Investing $500 in a certificate of deposit at 4.5% interest.
b. Placing a $100 bet on an NBA game.
c. Investing $10,000 in Microsoft stock.
d. Borrowing $20,000 in student loans.

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Definitions:

Protective Cushion

A safeguarding structure or material that mitigates impact or pressure, often found in biological contexts like the pads of tissue that protect underlying organs.

Elongated Fibers

Refers to cells that have been stretched or lengthened, often found in muscle and connective tissues.

Muscular Tissue

A tissue composed of fibers accountable for producing force and motion in the body, including movement of organs and the body itself.

Specialized to Contract

Describes cells or tissues, such as muscle cells, that are adapted to shorten or generate force, playing a crucial role in movement and support.