Rational investors would consider an investment in a risky business venture only if they feel the expected return is high enough to justify the
A) greater risk.
B) higher cost.
C) longer useful life.
D) more complex designs.

Question

Quizplus · Accepted Answer

Rational investors will only consider a risky investment if they feel the potential return justifies the increased risk. Option B is not relevant as it doesn't make sense in the context of the question. Options C and D are not relevant to the decision-making process for investment in a risky business venture.

Rational Investors Would Consider an Investment in a Risky Business