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Which of the Following Statements Regarding Risk-Averse Investors Is True

Question 15

Multiple Choice

Which of the following statements regarding risk-averse investors is true?


A) They only care about the rate of return.
B) They accept investments that are fair games.
C) They only accept risky investments that offer risk premiums over the risk-free rate.
D) They are willing to accept lower returns and high risk.
E) They only care about the rate of return, and they accept investments that are fair games.

Correct Answer:

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