Explain the return and risk relationship concept in finance.
Describe a situation whereby a department’s attitude is: Riskneutral, risk-averse or risk-seeking.
Explain and critically analyse the distinction between decisiontree, expected value and maximax, maximin and regret criterion canbe used for decision-making under conditions of risk anduncertainty. The managing director of Bounce Ltd has asked you toexplain how each method of the above can be applied indecision-making and comment on the strengths and limitations ofeach method.
