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Consider risk-return characteristics of Investments A-D. given below. Which of the following statements is TRUE for a given risk-neutral investor? HINT: A risk-neutral investor is

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Consider risk-return characteristics of Investments A-D. given below. Which of the following statements is TRUE for a given risk-neutral investor? HINT: A risk-neutral investor is an investor who is neither risk averse or risk loving. He wants the lowest risk per unit of return: risk-returnratio=StdDev[IRR]/E[IRR] Investment D is preferred over all other investments Investment C is preferred to investment D Investment B is preferred to Investment C Investment B is preferred to Investment A

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