IDNStudy.com, ang iyong destinasyon para sa malinaw na mga sagot. Alamin ang mga detalyadong sagot sa iyong mga tanong mula sa aming malawak na kaalaman sa mga eksperto.

Why we need to quantify the investment risk and return?​

Sagot :

Answer:

Risk, along with the return, is a major consideration in capital budgeting decisions. The firm must compare the expected return from a given investment with the risk associated with it. Higher levels of return are required to compensate for increased levels of risk.

Answer:

Risk, along with the return, is a major consideration in capital budgeting decisions. The firm must compare the expected return from a given investment with the risk associated with it. Higher levels of return are required to compensate for increased levels of risk. According to the risk-return tradeoff, invested money can render higher profits only if the investor will accept a higher possibility of losses. Investors consider the risk-return tradeoff as one of the essential components of decision-making. They also use it to assess their portfolios as a whole.

Please rate my answer the "Brainliest".

#CarryOnLearning