The higher the possible outcomes fall from the expected outcome of an investment, the higher the risk and the lower the required rate of return by investors.
The higher the risk, the higher the consequent required rate of return.

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The Answer of The higher the possible outcomes fall from the expected outcome of an investment, the higher the risk and the lower the required rate of return by investors.
The higher the risk, the higher the consequent required rate of return.

The Higher the Possible Outcomes Fall from the Expected Outcome