Question: being repaid. Which bank faces less rak? Why? (Sclact the best choice bolow.) A. Tho expected payolf is highor for Bank A, but is riskbor.
being repaid. Which bank faces less rak? Why? (Sclact the best choice bolow.) A. Tho expected payolf is highor for Bank A, but is riskbor. I prefor Bank B. 8. In both cases the expected loan poyoff is the sarne; $89 milian 0.97=$66.3 million. Consequently, I dart care which bark 1 own. C. Tho expeched payoffs are the same, but Bank A is riskier. 1 prefer Bank B. 0. The expectod paycfis are the same, but Bank A is less risky, 1 prefor Bank A
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