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Share a Has an Expected Return of 8% and a Risk

Question 5

Multiple Choice

Share A has an expected return of 8% and a risk level of 10%. Share B has an expected return of 8% and a risk level of 14%. Which would you choose?

A) A.
B) B.
C) Indifferent as expected return is the same.
D) Neither as risk is too high.

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