Will a risk-averse person who wants to invest $1000 prefer to put his or her funds into a bank account that pays 10-percent interest or in a stock that has a 10-percent dividend and a 75-percent chance of a 20-percent price decrease and a 25-percent chance of a 20-percent price increase? Explain.

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The Answer of Will a risk-averse person who wants to invest $1000 prefer to put his or her funds into a bank account that pays 10-percent interest or in a stock that has a 10-percent dividend and a 75-percent chance of a 20-percent price decrease and a 25-percent chance of a 20-percent price increase? Explain.

Will a Risk-Averse Person Who Wants to Invest $1000 Prefer