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Brenda Starts a Business for $150,000 That Gives Her a 50

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Brenda starts a business for $150,000 that gives her a 50% chance of losing and a 50% chance of gaining an expected annual return of $75,000.John is content with a job that pays him $75,000 per year with near certainty;there is only about a 1% chance of losing his job each year.Suppose risk is on the horizontal axis and return on the vertical axis,Brenda's indifference curve for risk and return:


A) is flatter than John's.
B) is steeper than John's.
C) has the same slope as John's.
D) is horizontal.

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