Arrow Tool Company is considering two investments, Alpha and Omega. The distributions of the investment returns are
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Arrow Tool Company is considering two investments, Alpha and Omega. The distributions of the investment returns are listed in the table below. Which investment do you advise to minimize risk and maximize return? Support and explain your decision. INVESTMENT Alpha Year /Return /Probability 1 /185000 /0.1 2 /280000 /0.1 3 /120000 / 0.3 4 /75000 /0.5
INVESTMENT Omega Year /Return /Probability 1 /100000 /0.3 2 /150000 /0.5 3 / 75000 /0.2
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