Consistent with a moderately risk averse investor

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Assume you have received $300,000 from your uncle’s estate after his death. Select an appropriate investment policy for investing this inheritance that is consistent with a moderately risk averse investor in each scenario below: (Explain your answer.)

(i) you plan on enrolling in a top ranked MBA program in two years and you expect to pay approximately $75,000 from your inheritance

(ii) you plan on working for 40 years after graduating before retiring

(iii) you plan to retire immediately and live off the inheritance for the rest of your life.

Reference no: EM13809796

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