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Investment A has an expected return of 15% per year, while investment B has an expected return of 12% per year. A rational investor will
Investment A has an expected return of 15% per year, while investment B has an expected return of 12% per year. A rational investor will choose ________. Select one:
a. investment A if A and B are of equal risk
b. investment B because a lower return means lower risk
c. investment A because of the higher expected return
d. investment A only if the standard deviation of returns for A is higher than the standard deviation of returns for B
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