Investors Want a Return That Satisfies the Following Expectation(s)

question 43

Multiple Choice

Investors want a return that satisfies the following expectation(s) :

• A) A return for delaying consumption
• B) An additional return for taking on risk
• C) An additional return for accepting dividends rather than capital gains
• D) Both A and B.

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Definitions:

Aggrieved Purchaser

A buyer who has suffered because of a breach of contract or misrepresentation during a purchase.

Fundamental Breach

A severe violation of a contract that justifies the aggrieved party's right to terminate the agreement and seek damages.

Condition

An essential term of a contract.

Replacement Warranty Clause

A provision in a contract or agreement guaranteeing the replacement of defective goods or services within a specified period.