Which statement is true of the relationship between risk and return?
O
The greater the risk, the greater the potential return.
The relationship between risk and return varies.
The greater the risk, the lower the potential return.
The relationship depends on the individual investment.

The statement that is true about the relationship between risk and return is that the greater the risk, the greater the potential return.

What is risk in business investments?

Risk is the step that an entrepreneur takes that enables and encourages innovation leading to the formation of new strategies in business.

Returns is the expected value that one receives from an investment after a period of time.

There is existence of positive correlation between Risk and return, that is, the greater the risk, the higher the potential for return.

Therefore, the statement that is true about the relationship between risk and return is that the greater the risk, the greater the potential return.

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Which statement is true of the relationship between risk and return? O The greater the risk, the greater the potential return. The relationship between risk and return varies. The greater the risk, the lower the potential return. The relationship depends on the individual investment.

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What is risk in business investments?

Otras preguntas

Which statement is true of the relationship between risk and return?
O
The greater the risk, the greater the potential return.
The relationship between risk and return varies.
The greater the risk, the lower the potential return.
The relationship depends on the individual investment.