hELP!

RISK AND RETURN. [20 points] Exercise 6). A financial manager must choose between three alternative investments, Asset 1, Asset 2, and Asset 3. Each asset is expected to provide earnings over a three-year period as described in the following table. The average (or mean) return and the standard deviation (or risk) for each asset are also reported in the table: year asset 1 asset 2 asset 3 21000 10000 14500 15500 14979 17000 22673 2 16000 11000 Average 15833.33 15884 15833.33 risk 5008.326 6384.787 1258.306 G). A risk-averse manager would choose while a risk-seeking manager w choose3 pl; (ii). The highest value of the coefficient of variation (CV) is for asset - while the lowest CV is for asset 3 pl; (ii). Under rational expectations and the first principle of Finance (TVM) the manager should choose asset-.. . 13 pl