Solve.The rate of return of certain investments increases as the risk factor of the investment increases. An investment with a risk factor of 2 has a rate of return of 5.0%. An investment with a risk factor of 18 has a rate of return of 20.0%. What is the average rate of return per unit of risk?
A. 0.72% per unit risk
B. 0.94% per unit risk
C. 1.38% per unit risk
D. 1.07% per unit risk
Answer: B
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