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Identify the Risk and the Return in Each of the Following

Question 11

Essay

Identify the risk and the return in each of the following examples.
a. Investing $500 in a certificate of deposit at 4.5% interest.
b. Placing a $100 bet on an NBA game.
c. Investing $10,000 in Microsoft stock.
d. Borrowing $20,000 in student loans.

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a. The risk involved is that the investo...

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