Investment Expected Return Standard Deviation XXXXXXXXXX XXXXXXXXXX XXXXXXXXXX XXXXXXXXXX Based on the utility formula we covered in lectures, a. Calculate the utility of each investment alternative...

Investment Expected Return Standard Deviation
1 0.12 0.30
2 0.15 0.50
3 0.21 0.16
4 0.24 0.21
Based on the utility formula we covered in lectures,
a. Calculate the utility of each investment alternative for an investor with risk averse A=4:
The utility of Investment 1
The utility of Investment 2
The utility of Investment 3
The utility of Investment 4
b. State which investment you would select if you were risk averse with A=4: Blank 5. Fill in the blank, read surrounding text.

c. State which investment you would select if you were risk averse with A=2: Blank 6. Fill in the blank, read surrounding text.
.

d. State which investment you would select if you were risk neutral: Blank 7. Fill in the blank, read surrounding text.