Mary Beth Is Risk Averse and Has $1,000 with Which

question 60

Multiple Choice

Mary Beth is risk averse and has $1,000 with which to make a financial investment.She has three options.Option A is a risk-free government bond that pays 5 percent interest each year for two years.Option B is a low-risk stock that analysts expect to be worth about $1,102.50 in two years.Option C is a high-risk stock that is expected to be worth about $1,200 in four years.Mary Beth should choose

• A)option A.
• B)option B.
• C)option C.
• D)either A or B because they are the same to her.

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Definitions:

Legal Abortion

refers to the termination of pregnancy through medical intervention, which is permitted and regulated by law within certain conditions and criteria.

Increased Policing

The augmentation of police presence and activities within a community, often in response to rising crime rates or perceived threats to public safety.

White-Collar Crime

Nonviolent crimes, usually committed in commercial situations by individuals, groups, or corporations for financial gain.

Embezzlement

The act of dishonestly withholding or diverting funds that have been trusted to an individual's care, typically in a work or corporate setting.