Which of the Following Is True of Risk-Return Trade Off

question 152

Multiple Choice

Which of the following is true of risk-return trade off?

• A) Risk can be measured on the basis of variability of return.
• B) Risk and return are inversely proportional to each other.
• C) T-bills are more riskier than equity due to imbalances in government policies.
• D) Riskier investments tend to have lower returns.

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Definitions:

Least Evils

A concept in moral philosophy where, among undesirable options, the one that causes the least harm or injustice is chosen.

Innocent Man

An individual who is not guilty of a crime or wrongdoing for which they may have been accused.

Kierkegaard

A 19th-century Danish philosopher who is considered the father of existentialism, emphasizing individual choice and responsibility in the face of an absurd world.

Intellectually Accepting

The act of recognizing and agreeing with certain ideas or concepts through reasoning and understanding.