Question: John Invested $1,000 In A Risky Investment And Bill Invested $1,000 In A Less Risky Investment. One Year Later, Bill’s Investment Is Worth $1,030. Which Of The Following Statements Is Most Correct? Select One: A. John’s Investment Must Be Worth More Than $1,030 Because Of The Risk-return Tradeoff, Given That John’s Investment Was More Risky B. If John’s …
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John invested $1,000 in a risky investment and Bill invested $1,000 in a less risky investment. One year later, Bill’s investment is worth $1,030. Which of the following statements is most correct? Select one: a. John’s investment must be worth more than $1,030 because of the risk-return tradeoff, given that John’s investment was more risky b. If John’s investment is worth less than $1,030, then John was irrational to invest in the risky project. c. If John’s investment is worth more than $1,030, then Bill was irrational to invest in the less risky investment. d. The worth of John’s investment cannot be determined with the information given.
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