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Congo Plc is considering two assets which are mutually exclusive for the expansion of its investment portfolios. Details of the assets are as under: ASSET

Congo Plc is considering two assets which are mutually exclusive for the expansion of its investment portfolios. Details of the assets are as under:

ASSET A

Condition

Probability

Possible return

Sunny

0.1

10%

Windy

0.36

11%

Rainy

0.24

9%

Dry

0.16

7%

Humid

0.09

10.2%

Cloudy

0.05

6.8%

ASSET B

Condition

Probability

Possible return

Sunny

0.14

10.1%

Windy

0.39

12%

Rainy

0.21

11%

Dry

0.15

8%

Humid

0.03

7.7%

Cloudy

0.08

13%

Required

Which asset will be selected? Use an appropriate risk measure

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