Meet Lance. Lance is a 25 year-old, recent university graduate with a modest amount of student debt. Lance earns $75,000/year as an engineering intern with an oil & gas exploration company. Until now, Lance has always concentrated his available capital on educational and living expenses, he has no retirement savings to speak of. Lance finds that after meeting his discretionary and non-discretionary expenses each month, he has approximately $1,000 left over to invest. As soon as Orin, Lance's financial advisor, was briefed by Lance, Orin immediately recommends that he put the surplus to work in a Registered Retirement Savings Plan (RRSP) to take advantage of tax-deferred growth and to receive a tax-deductible contribution receipt.\ \ Required\ \ Choose the most appropriate situation from the options below;\ \ Question 3 options:\ \ It appears Orin is making a highly faulty recommendation because it is not clear what the investment objective is nor does Orin know the kind of risk Lance is prepared to take on.\ \ \ The funds in the RRSP should be invested in high-risk stocks because Lance is still very young and will need aggressive growth. In addition Lance has a very good prospect of increasing income growth especially into the future. On the basis of this information, he has the capacity to accommodate high risk investments.\ \ \ Instead of investing in an RRSP, Orin should have recommended a TFSA because the left over money is an after tax money and tax should not be paid again on that money. The TFSA would have preserved the money and the returns earned on that investment.\ \ \ None of the options above is correct.