Trade-off of risk and reward
Identify a risky and a safe investment and provide rationale to justify your choices. Also, discuss the trade-off of risk and reward between your two investments.
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Explain how risk affects corporate financial strategy. Include the following in your answer:
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U.S. Treasury bills yielded 3.8 percent and the inflation rate was 3.1 percent. What real rate of return did she earn on her investments last year?
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