You Own a Stock Which Is Expected to Return 14

question 11

Multiple Choice

You own a stock which is expected to return 14 percent in a booming economy and 9 percent in a normal economy.If the probability of a booming economy decreases,your expected return will:

• A) decrease.
• B) either remain constant or decrease.
• C) remain constant.
• D) increase.
• E) either remain constant or increase.

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Definitions:

Ethical Decision-making Approaches

Methods or frameworks used to evaluate and choose among alternatives in a manner consistent with ethical principles.

Codes of Ethics

A set of principles and standards designed to guide the behavior and decision-making of members within a profession or organization.

Traditional Entrepreneurs

Individuals who establish and manage businesses for the principal purpose of profit and growth, typically following conventional business models.

Social Change

The alteration over time in behavior patterns, cultural norms, and social structures within a society, often driven by collective action or technological innovation.