Which of the following should be considered when deciding among alternative investments?
I.time value of money
II.risks associated with each investment
III.risk free rate of return
IV.personal risk tolerance level
A)I and II only
B)III and IV only
C)I, II and IV only
D)I, II, III and IV

Question

Quizplus · Accepted Answer

When deciding among alternative investments, it is important to consider the time value of money (I), risks associated with each investment (II) and personal risk tolerance level (IV). The risk-free rate of return (III) is not always relevant when considering alternative investments, as these often entail a higher level of risk than traditional investments. Therefore, option C - I, II, and IV only - is the best choice.

Which of the Following Should Be Considered When Deciding Among