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Erik is an investor with $5,000 available for investment. He has the following three investment possibilities from which to choose: If Erik is indifferent about

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Erik is an investor with $5,000 available for investment. He has the following three investment possibilities from which to choose: If Erik is indifferent about these three investment options, and he thinks that they are worth the same to him. Therefore, which of the following statements is true about Erik? He is risk-neutral. He is risk-averse. He is risk-loving. None of the above. Later, while examining the same investment alternatives, Erik's brother, Devin, clearly expressed a preference for Option 1. Which of the following statements is true about Devin? He is risk-averse. He is risk-neutral. He is risk-loving. None of the above

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