Stock A B C D Expected Return 5% 5% 7% 6% Standard Deviation 10% 12% 12% 11% Which of the following statements is true?
A) A is a better investment than B.
B) B is a better investment than C.
C) C is a better investment than D.
D) D is a better investment than C.
Answer: A
Explanation: A) The only sure thing we know is that investment A is better than investment B because for the same return we get less risk. Investment B is not better than investment C because for the same risk, we get less return. We cannot say if investment C or investment D is better because that involves a personal judgment on the risk-return trade-off.
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a. inflow of $3,000 b. inflow of $250 c. outflow of $12,500 d. inflow of $2,750
The Convention Relating to a Uniform Law on the International Sale of Goods (ULIS) supersedes the United Nations Convention on Contracts for the International Sale of Goods (CISG)
Indicate whether the statement is true or false