Open the attached spreadsheet. There are two investment opportunities named A and B (e.g., mutual funds). You are given $100,000 present if you would invest in one of these opportunities. Here are the rules and assumptions: 1. You must invest only in one opportunity. No diversification is allowed in this case. 2. You can and should invest all $100,000. You cannot hold anything back. If you do you will not be given the present. 3. Both investments continue to perform about the same as they did in the previous 6 months. 4. Both investments have about the same level of risk. 5. Consider the investment opportunities are similar to mutual funds. That is, the unit price of each share is not important in your investment strategy since you can buy a portion of a share. 6. You wish to maximize the return on your investment. Which investment opportunity would you prefer to invest your $100,000? Clearly explain why.

91% Search in Sheet Home Layout Tables Charts SmartArt Formulas Data Review Edit Font Alignment Number Cells Themes || Fill : Arial Wrap Text General 2096-Accent! Paste Clear Insert Delete Format . Themes AA" Formattin M14 There are two investment opportunities named A and B. You are given $100,000 to invest in one of these opportunities. Which investment opportunity would you prefer to invest your $100,000? State why? Investment A Growth Assume 2.50 2.00 1.50 1.00 1. You must invest only in one opportunity. No diversification is allowed in this case. 2. You can and should invest all $100,000 3. Both investments continue to perform about the same as they did in the previous 6 months 4. Both investments have about the same level of risk 10 5. You wish to maximize the return on your investment 12 13 Chart Area Investment Duration in Months 15 16 17 18 19 20 Investment B Growth 21 23 24 25 26 27 28 29 30 31 32 B Value 34 35 36 37 38 39 40 Investment Duration in Months 42 46 48 49 RAHSheeti Normal View password Ready Sum- 0