6. Consider the following possibilities for your stock market investment portfolio. a. What is the expected return

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6. Consider the following possibilities for your stock market investment portfolio.

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a. What is the expected return of this stock market investment portfolio?

b. Would you choose this expected return or take a safe return of 7 percent from a savings deposit in your bank? Why?

c. Suppose your teacher chooses the safe return from the bank. Is your teacher risk averse? How can you tell?

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Principles Of Microeconomics

ISBN: 9784492370292

6th Edition

Authors: John B. Taylor, Akila Weerapana

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