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pirex pirex
wrote...
Posts: 634
6 years ago
A risk-neutral individual will make investment decisions purely based on net present value because
A) she doesn't care about utility.
B) because utility is a linear function of wealth.
C) she loves to take risk.
D) net present value is always more than expected utility.
Textbook 
Microeconomics

Microeconomics


Edition: 6th
Author:
Read 66 times
1 Reply
And if you call, I will answer
And if you fall, I'll pick you up
And if you court this disaster
I'll point you home
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Answer verified by a subject expert
ChronosChronos
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Posts: 404
Rep: 2 0
6 years ago
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pirex Author
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