Question
Answered step-by-stepAsked by shika757 on coursehero.com
Ben has just purchased a long-term government bond and expects to...
Ben has just purchased a long-term government bond and expects to make a 7% return. Donna has just purchased a stock in a new start-up company but expects to make a 20% return. Why is Donna expecting a higher return? Which investment is riskier over time? Which investment is more vulnerable to sudden changes in the economy?
Please explain this to me and break it down so I can understand why donna is expecting a higher return and which is riskier overtime
Answer & Explanation
Solved by verified expertAnswered by ugalinomark297 on coursehero.com
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